75R14602 E
By Armbrister, et al. S.B. No. 370
Substitute the following for S.B. No. 370:
By Alexander C.S.S.B. No. 370
A BILL TO BE ENTITLED
1-1 AN ACT
1-2 relating to the continuation and functions of the Texas Department
1-3 of Transportation, the abolition of the Texas Turnpike Authority,
1-4 and the creation of regional tollway authorities; authorizing the
1-5 issuance of bonds and the imposition of taxes; granting the power
1-6 of eminent domain; and providing civil penalties.
1-7 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
1-8 ARTICLE 1. TEXAS TRANSPORTATION COMMISSION; TEXAS
1-9 DEPARTMENT OF TRANSPORTATION
1-10 SECTION 1.01. Section 201.204, Transportation Code, is
1-11 amended to read as follows:
1-12 Sec. 201.204. SUNSET PROVISION. The Texas Department of
1-13 Transportation is subject to Chapter 325, Government Code (Texas
1-14 Sunset Act). Unless continued in existence as provided by that
1-15 chapter, the department is abolished September 1, 2009 [1997].
1-16 SECTION 1.02. Subsection (d), Section 201.051,
1-17 Transportation Code, is amended to read as follows:
1-18 (d) Except as provided by Subsection (e), a person is not
1-19 eligible for appointment as a member of the commission if the
1-20 person or the person's spouse:
1-21 (1) is employed by or participates in the management
1-22 of a business entity or other organization that is regulated by or
1-23 receives funds from the department;
1-24 (2) directly or indirectly owns or controls more than
2-1 10 percent interest in a business entity or other organization that
2-2 is regulated by or receives funds from the department; [or]
2-3 (3) uses or receives a substantial amount of tangible
2-4 goods, services, or funds from the department, other than
2-5 compensation or reimbursement authorized by law for commission
2-6 membership, attendance, or expenses; or
2-7 (4) is registered, certified, or licensed by the
2-8 department.
2-9 SECTION 1.03. Subsection (c), Section 201.057,
2-10 Transportation Code, is amended to read as follows:
2-11 (c) If the director knows that a potential ground for
2-12 removal exists, the director shall notify the commissioner of
2-13 transportation of the ground, and the commissioner shall notify the
2-14 governor and the attorney general that a potential ground for
2-15 removal exists. If the potential ground for removal relates to the
2-16 commissioner of transportation, the director shall notify another
2-17 member of the commission, who shall notify the governor and the
2-18 attorney general that a potential ground for removal exists.
2-19 SECTION 1.04. Subchapter B, Chapter 201, Transportation
2-20 Code, is amended by adding Section 201.059 to read as follows:
2-21 Sec. 201.059. TRAINING ON DEPARTMENT AND CERTAIN LAWS
2-22 RELATING TO DEPARTMENT. (a) To be eligible to take office as a
2-23 member of the commission, a person appointed to the commission must
2-24 complete at least one course of a training program that complies
2-25 with this section.
2-26 (b) The training program must provide information to the
2-27 person regarding:
3-1 (1) this subchapter;
3-2 (2) the programs operated by the department;
3-3 (3) the role and functions of the department;
3-4 (4) the rules of the department with an emphasis on
3-5 the rules that relate to disciplinary and investigatory authority;
3-6 (5) the current budget for the department;
3-7 (6) the results of the most recent formal audit of the
3-8 department;
3-9 (7) the requirements of the:
3-10 (A) open meetings law, Chapter 551, Government
3-11 Code;
3-12 (B) open records law, Chapter 552, Government
3-13 Code; and
3-14 (C) administrative procedure law, Chapter 2001,
3-15 Government Code;
3-16 (8) the requirements of the conflict of interest laws
3-17 and other laws relating to public officials; and
3-18 (9) any applicable ethics policies adopted by the
3-19 commission or the Texas Ethics Commission.
3-20 (c) A person appointed to the commission is entitled to
3-21 reimbursement for travel expenses incurred in attending the
3-22 training program, as provided by the General Appropriations Act and
3-23 as if the person were a member of the commission.
3-24 SECTION 1.05. Section 201.102, Transportation Code, is
3-25 amended to read as follows:
3-26 Sec. 201.102. SEPARATION [DEFINITION] OF RESPONSIBILITIES.
3-27 The commission shall develop and implement policies that clearly
4-1 separate the policy-making [define the respective] responsibilities
4-2 of the commission and the management responsibilities of the
4-3 director and staff of the department.
4-4 SECTION 1.06. Subsection (b), Section 201.107,
4-5 Transportation Code, is amended to read as follows:
4-6 (b) The commission shall file annually with the governor and
4-7 the presiding officer of each house of the legislature a complete
4-8 and detailed written report accounting for all funds received and
4-9 disbursed by the department during the preceding fiscal year. The
4-10 report must comply with each reporting requirement applicable to
4-11 financial reporting [be in the form and filed in the time] provided
4-12 by the General Appropriations Act.
4-13 SECTION 1.07. Section 201.203, Transportation Code, is
4-14 amended to read as follows:
4-15 Sec. 201.203. DEPARTMENT OFFICE[; RECORDS]. The department
4-16 shall have its statewide headquarters office in Austin. [The
4-17 department shall keep all of its records in that office.]
4-18 SECTION 1.08. Subchapter D, Chapter 201, Transportation
4-19 Code, is amended by adding Section 201.206 to read as follows:
4-20 Sec. 201.206. DONATIONS AND CONTRIBUTIONS. For the purpose
4-21 of carrying out its functions and duties, the department may
4-22 accept, from any source, a donation or contribution in any form,
4-23 including realty, personalty, money, materials, or services.
4-24 SECTION 1.09. Subsections (a) and (b), Section 201.402,
4-25 Transportation Code, are amended to read as follows:
4-26 (a) The director or the director's designee shall prepare
4-27 and maintain a written policy statement to ensure implementation of
5-1 a program of equal employment opportunity under which all personnel
5-2 transactions are made without regard to race, color, disability,
5-3 sex, religion, age, or national origin. The policy statement must
5-4 include:
5-5 (1) personnel policies, including policies relating to
5-6 recruitment, evaluation, selection, appointment, training, and
5-7 promotion of personnel that comply with Chapter 21, Labor Code;
5-8 (2) a comprehensive analysis of the department work
5-9 force that meets federal and state laws, rules, and regulations,
5-10 and instructions directly adopted under those laws, rules, or
5-11 regulations [guidelines];
5-12 (3) procedures by which a determination can be made of
5-13 significant underuse in the department work force of all persons
5-14 for whom federal or state laws, rules, and regulations, and
5-15 instructions directly adopted under those laws, rules, or
5-16 regulations [guidelines] encourage a more equitable balance; and
5-17 (4) reasonable methods to appropriately address the
5-18 areas of significant underuse.
5-19 (b) A policy statement prepared under Subsection (a) must
5-20 cover an annual period, be updated at least annually, be reviewed
5-21 by the Texas Commission on Human Rights for compliance with
5-22 Subsection (a)(1), and be filed with the governor's office.
5-23 SECTION 1.10. Subsections (a) and (b), Section 201.404,
5-24 Transportation Code, are amended to read as follows:
5-25 (a) The director or the director's designee shall develop an
5-26 intra-agency career ladder program that addresses opportunities for
5-27 mobility and advancement for employees in the department [covering
6-1 all full-time classified and exempt positions]. The program shall
6-2 require intra-agency posting of all [nonentry] positions
6-3 concurrently with any public posting.
6-4 (b) The director or the director's designee shall develop a
6-5 system of annual performance evaluations that are based on
6-6 documented employee performance. All merit pay for department
6-7 employees must be based on the system established under this
6-8 subsection.
6-9 SECTION 1.11. Subchapter I, Chapter 201, Transportation
6-10 Code, is amended by adding Section 201.705 to read as follows:
6-11 Sec. 201.705. PILOT PROJECT ON VEHICLE MAINTENANCE
6-12 OUTSOURCING. (a) The department shall conduct a two-year pilot
6-13 project to determine whether contracting with a private entity for
6-14 maintenance and repair services of all department vehicles would be
6-15 cost-effective.
6-16 (b) The study must be implemented in at least three of the
6-17 department's districts. The districts in which the study is
6-18 implemented must vary in geography and population.
6-19 (c) Any cost savings that result from the project shall be
6-20 deposited to the credit of the state infrastructure bank account
6-21 created under Subchapter D, Chapter 222.
6-22 (d) Not later than January 1, 2001, the department shall
6-23 submit a report to the legislature on the results of the pilot
6-24 program and any recommendations on the continuation or expansion of
6-25 the pilot program.
6-26 (e) This section expires January 1, 2001.
6-27 SECTION 1.12. Section 201.801, Transportation Code, is
7-1 amended by amending Subsection (c) and adding Subsection (e) to
7-2 read as follows:
7-3 (c) The department shall:
7-4 (1) keep an information file about each written
7-5 complaint filed with the department that the department has the
7-6 authority to resolve; and
7-7 (2) provide the person who filed the complaint, and
7-8 each person or entity that is the subject of the complaint,
7-9 information about the department's policies and procedures relating
7-10 to complaint investigation and resolution.
7-11 (e) With regard to each complaint filed with the department,
7-12 the department shall keep the following information:
7-13 (1) the date the complaint is filed;
7-14 (2) the name of the person filing the complaint;
7-15 (3) the subject matter of the complaint;
7-16 (4) a record of each person contacted in relation to
7-17 the complaint;
7-18 (5) a summary of the results of the review or
7-19 investigation of the complaint; and
7-20 (6) if the department takes no action on the
7-21 complaint, an explanation of the reasons that no action was taken.
7-22 SECTION 1.13. Section 201.802, Transportation Code, is
7-23 amended by amending Subsection (b) and adding Subsection (c) to
7-24 read as follows:
7-25 (b) The director [department] shall prepare and maintain a
7-26 written plan that describes the manner in which a person who does
7-27 not speak English or who has a physical, mental, or developmental
8-1 disability is provided reasonable access to the department's
8-2 programs.
8-3 (c) The department shall comply with each applicable law of
8-4 the United States or this state that relates to program or facility
8-5 accessibility.
8-6 SECTION 1.14. Subchapter K, Chapter 201, Transportation
8-7 Code, is amended by adding Section 201.905 to read as follows:
8-8 Sec. 201.905. MULTIMODAL ROAD USE. (a) The department
8-9 shall conduct a comprehensive analysis of the multimodal use of
8-10 roads and highways in the state highway system. The analysis shall
8-11 include the collection of data on users' concerns about road
8-12 conditions and actual and potential use patterns of roads or
8-13 highways.
8-14 (b) After the analysis required by Subsection (a) is
8-15 completed, the department shall initiate and coordinate a campaign
8-16 to help increase public awareness of traffic safety issues.
8-17 (c) The department shall initiate a program of continuing
8-18 community involvement sessions to help other state agencies, local
8-19 decision-makers, interest groups, and the general public improve
8-20 the state's comprehensive transportation system to include all
8-21 modes of transportation.
8-22 SECTION 1.15. Chapter 201, Transportation Code, is amended
8-23 by adding Subchapter L to read as follows:
8-24 SUBCHAPTER L. ELECTRONIC ISSUANCE OF LICENSES
8-25 Sec. 201.931. DEFINITIONS. In this subchapter:
8-26 (1) "Digital signature" means an electronic identifier
8-27 intended by the person using it to have the same force and effect
9-1 as the use of a manual signature.
9-2 (2) "License" includes:
9-3 (A) a permit issued by the department that
9-4 authorizes the operation of a vehicle and its load or a combination
9-5 of vehicles and load exceeding size or weight limitations;
9-6 (B) motor carrier registration issued under
9-7 Article 6675c, Revised Statutes;
9-8 (C) a vehicle storage facility license issued
9-9 under Article 6687-9a, Revised Statutes;
9-10 (D) a license or permit for outdoor advertising
9-11 issued under Chapter 391 or 394;
9-12 (E) a salvage motor vehicle dealer and agent
9-13 license issued under Article 6687-1a, Revised Statutes;
9-14 (F) specially designated or specialized license
9-15 plates issued under Subchapters E and F, Chapter 502; and
9-16 (G) an apportioned registration issued according
9-17 to the International Registration Plan under Section 502.054.
9-18 Sec. 201.932. APPLICATION FOR AND ISSUANCE OF LICENSE.
9-19 (a) The commission may by rule provide for the filing of a
9-20 license application and the issuance of a license by electronic
9-21 means.
9-22 (b) The commission may limit applicant eligibility under
9-23 Subsection (a) if the rules include reasonable eligibility
9-24 criteria.
9-25 Sec. 201.933. DIGITAL SIGNATURE. (a) A license application
9-26 received by the department is considered signed if a digital
9-27 signature is transmitted with the application and intended by the
10-1 applicant to authenticate the license in accordance with Subsection
10-2 (b).
10-3 (b) The department may only accept a digital signature used
10-4 to authenticate a license application under procedures that:
10-5 (1) comply with any applicable rules of another state
10-6 agency having jurisdiction over department use or acceptance of a
10-7 digital signature; and
10-8 (2) provide for consideration of factors that may
10-9 affect a digital signature's reliability, including whether a
10-10 digital signature is:
10-11 (A) unique to the person using it;
10-12 (B) capable of independent verification;
10-13 (C) under the sole control of the person using
10-14 it; and
10-15 (D) transmitted in a manner that will make it
10-16 infeasible to change the data in the communication or digital
10-17 signature without invalidating the digital signature.
10-18 Sec. 201.934. PAYMENT OF FEES. The commission may adopt
10-19 rules regarding the method of payment of a fee for a license issued
10-20 under this subchapter. The rules may authorize the use of
10-21 electronic funds transfer or a valid credit card issued by a
10-22 financial institution chartered by a state or the federal
10-23 government or by a nationally recognized credit organization
10-24 approved by the department. The rules may require the payment of a
10-25 discount or service charge for a credit card payment in addition to
10-26 the fee.
10-27 SECTION 1.16. Subchapter C, Chapter 202, Transportation
11-1 Code, is amended by adding Section 202.060 to read as follows:
11-2 Sec. 202.060. LIVING LOGOS; PILOT PROJECT. (a) The
11-3 commission may adopt rules implementing a pilot project for the
11-4 leasing of state highway right-of-way, subject to any applicable
11-5 federal regulation of outdoor advertising, as a location or
11-6 locations for commercial advertising by means of a floral mosaic
11-7 living logo.
11-8 (b) Rules adopted under this section shall:
11-9 (1) provide for the award of a lease in a manner that
11-10 maximizes revenue to the state;
11-11 (2) regulate the content, composition, placement,
11-12 installation, and maintenance of a floral mosaic living logo;
11-13 (3) set a bond for faithful performance of the lessee;
11-14 (4) provide for the public safety;
11-15 (5) ensure that installation and maintenance of a
11-16 floral mosaic living logo will not interfere with access to, or be
11-17 inconsistent with the use of, abutting property; and
11-18 (6) include such other matters as may be necessary to
11-19 protect the integrity of the involved highway.
11-20 (c) A floral mosaic living logo installed or placed under
11-21 this section may not contain a message, symbol, or trademark that
11-22 resembles an official traffic-control device.
11-23 (d) This section applies to state highway right-of-way in a
11-24 county with a population of 500,000 or more.
11-25 SECTION 1.17. Subchapter B, Chapter 222, Transportation
11-26 Code, is amended by adding Section 222.034 to read as follows:
11-27 Sec. 222.034. DISTRIBUTION OF FEDERAL FUNDS. (a) Federal
12-1 aid for transportation purposes that is administered by the
12-2 commission shall be distributed to the various parts of the state
12-3 for a funding cycle through the selection of highway projects in
12-4 the state in a manner that is consistent with federal formulas that
12-5 determine the amount of federal aid for transportation purposes
12-6 received by the state. A distribution under this subsection does
12-7 not include deductions made for the state infrastructure bank or
12-8 other federal funds reallocated by the federal government.
12-9 (b) The commission may vary from the distribution procedure
12-10 provided by Subsection (a) if it issues a ruling or minute order
12-11 identifying the variance and providing a particular justification
12-12 for the variance.
12-13 SECTION 1.18. Subchapter C, Chapter 222, Transportation
12-14 Code, is amended by adding Section 222.053 to read as follows:
12-15 Sec. 222.053. RELIEF FROM LOCAL MATCHING FUNDS REQUIREMENT.
12-16 (a) In this section, "economically disadvantaged county" means a
12-17 county that has, in comparison to other counties in the state:
12-18 (1) below average per capita taxable property value;
12-19 (2) below average per capita income; and
12-20 (3) above average unemployment.
12-21 (b) Except as provided by Subsection (c), the commission may
12-22 require, request, or accept from a political subdivision matching
12-23 or other local funds, rights-of-way, utility adjustments,
12-24 additional participation, planning, documents, or any other local
12-25 incentives to make the most efficient use of its highway funding.
12-26 (c) In evaluating a proposal to construct, maintain, or
12-27 extend a highway or for another type of highway project in a
13-1 political subdivision that consists of all or a portion of an
13-2 economically disadvantaged county, the commission:
13-3 (1) may not consider the absence or value of local
13-4 incentives provided under Subsection (b) or the value of a benefit
13-5 received by the state in an agreement under Section 791.031,
13-6 Government Code, beyond the minimum required local matching funds;
13-7 and
13-8 (2) shall adjust the minimum local matching funds
13-9 requirement after evaluating the political subdivision's effort and
13-10 ability to meet the requirement.
13-11 (d) In making an adjustment under Subsection (c)(2), the
13-12 commission may use its in-kind resources and any other available
13-13 resources to help satisfy a federal requirement.
13-14 (e) The commission shall report annually to the governor,
13-15 the lieutenant governor, and the speaker of the house of
13-16 representatives on the use of matching funds and local incentives
13-17 and the ability of the commission to ensure that political
13-18 subdivisions located in economically disadvantaged counties have
13-19 equal ability to compete for highway funding with political
13-20 subdivisions in counties that are not economically disadvantaged.
13-21 SECTION 1.19. Subsection (c), Section 202.052,
13-22 Transportation Code, is amended to read as follows:
13-23 (c) The department shall charge not less than fair market
13-24 value for the highway asset, payable in cash, services, tangible or
13-25 intangible property, or any combination of cash, services, or
13-26 property.
13-27 SECTION 1.20. Chapter 202, Transportation Code, is amended
14-1 by adding Subchapter E to read as follows:
14-2 SUBCHAPTER E. TELECOMMUNICATIONS FACILITIES
14-3 Sec. 202.091. DEFINITION. In this subchapter,
14-4 "telecommunications" means any transmission, emission, or reception
14-5 of signs, signals, writings, images, or sounds of intelligence of
14-6 any nature by wire, radio, optical, or other electromagnetic
14-7 systems.
14-8 Sec. 202.092. USE OF DEPARTMENT FACILITIES. Notwithstanding
14-9 any other law, a telecommunications provider may not place or
14-10 maintain its facilities or otherwise use improvements, including
14-11 structures, medians, conduits, or telecommunications equipment or
14-12 lines, constructed or installed by the state as components of the
14-13 state highway system except by a lease under Section 202.052 or an
14-14 agreement under Section 202.093.
14-15 Sec. 202.093. AGREEMENT. (a) Notwithstanding any other
14-16 law, the department may enter into an agreement with a
14-17 telecommunications provider allowing the provider, for the
14-18 provider's commercial purposes, to:
14-19 (1) place the provider's telecommunications facilities
14-20 within the median of a divided state highway; or
14-21 (2) place lines within or otherwise use
14-22 telecommunications facilities owned or installed by the state in or
14-23 on the improved portion of a state highway, including a median,
14-24 structures, equipment, conduits, or any other component of the
14-25 highway facilities constructed or owned by the department.
14-26 (b) An agreement entered into under Subsection (a) may
14-27 provide for compensation between the department and the
15-1 telecommunications provider in the form of cash or the shared use
15-2 of facilities.
15-3 Sec. 202.094. COMPETITIVE SEALED PROPOSAL. (a) Before
15-4 entering into an agreement with a telecommunications provider under
15-5 this subchapter, the department shall follow a procedure using
15-6 competitive sealed proposals.
15-7 (b) The department shall solicit proposals by a request for
15-8 proposals and shall publish notice of the request in at least two
15-9 newspapers of general circulation and in the Texas Register.
15-10 (c) The proposals shall be opened so as to avoid disclosure
15-11 of contents to competing offerors during the process of
15-12 negotiation. After a contract is awarded, all proposals that have
15-13 been submitted shall be open for public inspection subject to
15-14 Subchapter C, Chapter 552, Government Code.
15-15 (d) The department may discuss an acceptable or potentially
15-16 acceptable proposal with an offeror to assess the offeror's ability
15-17 to meet the solicitation requirements. After the submission of a
15-18 proposal but before making an award, the department may permit the
15-19 offeror to revise the proposal in order to obtain the best final
15-20 offer. The department may not disclose any information derived
15-21 from proposals submitted from competing offerors in conducting
15-22 discussions under this section. The department shall provide each
15-23 offeror with an equal opportunity for discussion and revision of
15-24 proposals.
15-25 (e) The department shall make a written award of a contract
15-26 to the offeror whose proposal is the most advantageous to the
15-27 state, considering price and the evaluation factors in the request
16-1 for proposals, except that if the department finds that none of the
16-2 offers is acceptable, it shall refuse all offers. The contract
16-3 file must state in writing the basis on which the award is made.
16-4 Sec. 202.095. APPLICABILITY. (a) Subtitle D, Title 10,
16-5 Government Code, does not apply to a procurement under this
16-6 subchapter.
16-7 (b) This subchapter does not limit a telecommunications
16-8 provider from placing lines or facilities in the unimproved portion
16-9 of state highway right-of-way to the extent authorized by
16-10 applicable law.
16-11 Sec. 202.096. REVENUE. The department shall deposit in the
16-12 state highway fund any revenue received under this subchapter.
16-13 Sec. 202.097. RULEMAKING. The commission shall adopt rules
16-14 for the implementation of this subchapter.
16-15 SECTION 1.21. Chapter 222, Transportation Code, is amended
16-16 by adding Subchapter D to read as follows:
16-17 SUBCHAPTER D. STATE INFRASTRUCTURE BANK
16-18 Sec. 222.071. DEFINITIONS. In this subchapter:
16-19 (1) "Bank" means the state infrastructure bank
16-20 account.
16-21 (2) "Construction" has the meaning assigned by 23
16-22 U.S.C. Section 101.
16-23 (3) "Federal act" means Section 350 of the National
16-24 Highway System Designation Act of 1995 (Pub. L. No. 104-59).
16-25 (4) "Federal-aid highway" has the meaning assigned by
16-26 23 U.S.C. Section 101.
16-27 (5) "Qualified project" includes:
17-1 (A) the construction of a federal-aid highway;
17-2 (B) a transit project under 49 U.S.C. Sections
17-3 5307, 5309, and 5311; or
17-4 (C) for the expenditure of secondary funds, a
17-5 project eligible for assistance under Title 23 or Title 49, United
17-6 States Code.
17-7 (6) "Secondary funds" includes:
17-8 (A) the repayment of a loan or other assistance
17-9 that is provided with money deposited to the credit of the bank;
17-10 and
17-11 (B) investment income generated by secondary
17-12 funds deposited to the credit of the bank.
17-13 Sec. 222.072. STATE INFRASTRUCTURE BANK. (a) The state
17-14 infrastructure bank is an account in the state highway fund. The
17-15 bank is administered by the commission.
17-16 (b) Federal funds received by the state under the federal
17-17 act, matching state funds in an amount required by that act,
17-18 proceeds from bonds issued under Section 222.075, money saved as a
17-19 result of contracting with a private entity for maintenance and
17-20 repair services for department vehicles, secondary funds, and other
17-21 money received by the state that is eligible for deposit in the
17-22 bank may be deposited into the bank and used only for the purposes
17-23 described in this subchapter.
17-24 Sec. 222.073. PURPOSES OF INFRASTRUCTURE BANK. The
17-25 commission shall use money deposited in the bank to:
17-26 (1) encourage public and private investment in
17-27 transportation facilities, including facilities that contribute to
18-1 the multimodal and intermodal transportation capabilities of the
18-2 state; and
18-3 (2) develop financing techniques designed to:
18-4 (A) expand the availability of funding for
18-5 transportation projects and to reduce direct state costs;
18-6 (B) maximize private and local participation in
18-7 financing projects; and
18-8 (C) improve the efficiency of the state
18-9 transportation system.
18-10 Sec. 222.074. FORM OF ASSISTANCE. (a) To further a purpose
18-11 described by Section 222.073, the commission may use money
18-12 deposited to the credit of the bank to provide financial assistance
18-13 to a public or private entity for a qualified project to:
18-14 (1) extend credit by direct loan;
18-15 (2) provide credit enhancements;
18-16 (3) serve as a capital reserve for bond or debt
18-17 instrument financing;
18-18 (4) subsidize interest rates;
18-19 (5) insure the issuance of a letter of credit or
18-20 credit instrument;
18-21 (6) finance a purchase or lease agreement in
18-22 connection with a transit project;
18-23 (7) provide security for bonds and other debt
18-24 instruments; or
18-25 (8) provide methods of leveraging money that have been
18-26 approved by the United States secretary of transportation and
18-27 relate to the project for which the assistance is provided.
19-1 (b) Financial assistance to a private entity under
19-2 Subsection (a) shall be limited to a qualified project that:
19-3 (1) provides transportation services or facilities
19-4 that provide a demonstrated public benefit; or
19-5 (2) is constructed or operated in cooperation with a
19-6 state agency or political subdivision in accordance with an
19-7 agreement between that agency or political subdivision and the
19-8 private entity.
19-9 Sec. 222.075. REVENUE BONDS. (a) The commission may issue
19-10 revenue bonds for the purpose of providing money for the bank.
19-11 (b) Except as provided by Subsection (c), the commission may
19-12 issue revenue bonds or revenue refunding bonds under this section
19-13 without complying with any other law applicable to the issuance of
19-14 bonds.
19-15 (c) Notwithstanding any other provision of this section, the
19-16 following laws apply to bonds issued by the commission:
19-17 (1) Chapter 503, Acts of the 54th Legislature, 1955
19-18 (Article 717k, Vernon's Texas Civil Statutes);
19-19 (2) Chapter 3, Acts of the 61st Legislature, Regular
19-20 Session, 1969 (Article 717k-2, Vernon's Texas Civil Statutes);
19-21 (3) the Bond Procedures Act of 1981 (Article 717k-6,
19-22 Vernon's Texas Civil Statutes);
19-23 (4) Chapter 1078, Acts of the 70th Legislature,
19-24 Regular Session, 1987 (Article 717k-7, Vernon's Texas Civil
19-25 Statutes);
19-26 (5) Article 3, Chapter 53, Acts of the 70th
19-27 Legislature, 2nd Called Session, 1987 (Article 717k-8, Vernon's
20-1 Texas Civil Statutes); and
20-2 (6) Chapter 656, Acts of the 68th Legislature, Regular
20-3 Session, 1983 (Article 717q, Vernon's Texas Civil Statutes).
20-4 (d) The revenue bonds are special obligations of the
20-5 commission payable only from income and receipts of the bank as the
20-6 commission may designate. The income and receipts include
20-7 principal of and interest paid and to be paid on acquired
20-8 obligations, other designated obligations held by the bank, or
20-9 income from accounts created within the bank.
20-10 (e) The revenue bonds do not constitute a debt of the state
20-11 or a pledge of the faith and credit of the state.
20-12 (f) The commission may require participants to make charges,
20-13 levy taxes, or otherwise provide for sufficient money to pay
20-14 acquired obligations.
20-15 (g) Revenue bonds issued under this section shall be
20-16 authorized by order of the commission and shall have the form and
20-17 characteristics and bear the designations as are provided in the
20-18 order.
20-19 (h) Revenue bonds shall:
20-20 (1) be dated;
20-21 (2) bear interest at the rate or rates authorized by
20-22 law;
20-23 (3) mature at the time or times, serially, as term,
20-24 revenue bonds, or otherwise not more than 50 years after their
20-25 dates;
20-26 (4) be called before stated maturity on the terms and
20-27 at the prices, be in the denominations, be in the form, either
21-1 coupon or registered, carry registration privileges as to principal
21-2 only or as to both principal and interest and as to successive
21-3 exchange of coupon for registered bonds or one denomination for
21-4 bonds of other denominations, and successive exchange of registered
21-5 revenue bonds for coupon revenue bonds, be executed in the manner,
21-6 and be payable at the place or places inside or outside the state,
21-7 as provided in the order;
21-8 (5) be issued in temporary or permanent form;
21-9 (6) be issued in one or more installments and from
21-10 time to time as required and sold at a price or prices and under
21-11 terms determined by the commission to be the most advantageous
21-12 reasonably obtainable; and
21-13 (7) be issued on a parity with and be secured in the
21-14 manner as other revenue bonds authorized to be issued by this
21-15 section or be issued without parity and secured differently from
21-16 other revenue bonds.
21-17 (i) All proceedings relating to the issuance of revenue
21-18 bonds issued under this section shall be submitted to the attorney
21-19 general for examination. On determining that the revenue bonds
21-20 have been authorized in accordance with law, the attorney general
21-21 shall approve the revenue bonds, and the revenue bonds shall be
21-22 registered by the comptroller. After the approval and
21-23 registration, the revenue bonds are incontestable in any court or
21-24 other forum for any reason and are valid and binding obligations in
21-25 accordance with their terms for all purposes.
21-26 (j) The proceeds received from the sale of revenue bonds
21-27 shall be deposited in the bank and invested in the manner provided
22-1 for other funds deposited under this subchapter.
22-2 Sec. 222.076. SEPARATE SUBACCOUNTS. The bank shall consist
22-3 of at least two separate subaccounts, a highway subaccount and a
22-4 transit subaccount.
22-5 Sec. 222.077. REPAYMENT TERMS; DEPOSIT OF REPAYMENTS;
22-6 INVESTMENT INCOME. (a) Any funds disbursed through the state
22-7 infrastructure bank must be repaid on terms determined by the
22-8 commission that comply with the federal act.
22-9 (b) Notwithstanding any other law to the contrary:
22-10 (1) the repayment of a loan or other assistance
22-11 provided with money deposited to the credit of a subaccount in the
22-12 bank shall be deposited in that subaccount; and
22-13 (2) investment income generated by money deposited to
22-14 the credit of a subaccount in the bank shall be:
22-15 (A) credited to that subaccount;
22-16 (B) available for use in providing financial
22-17 assistance under this subchapter; and
22-18 (C) invested in United States Treasury
22-19 securities, bank deposits, or other financing instruments approved
22-20 by the United States secretary of transportation to earn interest
22-21 and enhance the financing of projects assisted by the bank.
22-22 (c) The commission shall administer the bank in compliance
22-23 with the federal act and any applicable federal regulation or
22-24 guideline.
22-25 (d) The commission by rule shall:
22-26 (1) implement this subchapter; and
22-27 (2) establish eligibility criteria for an entity
23-1 applying for financial assistance from the bank.
23-2 Sec. 222.078. REPORT TO LEGISLATURE. (a) Not later than
23-3 January 1, 2001, the department shall submit a report to the
23-4 legislature on the status of projects funded by the state
23-5 infrastructure bank and the use of the bank. The report must
23-6 include information about:
23-7 (1) the financial and operational status of projects
23-8 assisted by the bank;
23-9 (2) the financial condition of the bank, including
23-10 fund balances;
23-11 (3) the cumulative value of investments made; and
23-12 (4) the extent to which projects assisted by the bank
23-13 have aided the state in meeting the state's transportation needs.
23-14 (b) This section expires January 1, 2001.
23-15 SECTION 1.22. Subchapter A, Chapter 223, Transportation
23-16 Code, is amended by adding Sections 223.012 and 223.013 to read as
23-17 follows:
23-18 Sec. 223.012. CONTRACTOR PERFORMANCE. The department shall:
23-19 (1) develop a schedule for liquidated damages that
23-20 accurately reflects the costs associated with project completion
23-21 delays, including administrative and travel delays; and
23-22 (2) review contractor bidding capacity to ensure that
23-23 contractors meet each quality and timeliness standard established
23-24 by the commission.
23-25 Sec. 223.013. ELECTRONIC BIDDING SYSTEM. (a) The
23-26 department may establish an electronic bidding system for highway
23-27 construction and maintenance contracts.
24-1 (b) The system must permit a qualified vendor to
24-2 electronically submit a bid, including any contract, signature, or
24-3 verification of a guaranty check by a financial institution.
24-4 (c) That part of Section 223.004(a) requiring a bid to be
24-5 opened at a public hearing of the commission does not apply to an
24-6 electronically submitted bid. A copy of each electronically
24-7 submitted bid shall be publicly posted within 48 hours after bids
24-8 are opened.
24-9 (d) After the electronic bidding system is established, the
24-10 department shall take the actions necessary to recover the
24-11 department's costs of manually processing bids from a person who
24-12 does not submit an electronic bid.
24-13 SECTION 1.23. Section 223.041, Transportation Code, is
24-14 amended to read as follows:
24-15 Sec. 223.041. ENGINEERING AND DESIGN CONTRACTS. (a) The
24-16 department shall use private sector engineering-related services to
24-17 assist in accomplishing its activities in providing transportation
24-18 projects. For the purpose of this section, engineering-related
24-19 services means engineering, land surveying, environmental,
24-20 transportation feasibility and financial, architectural, real
24-21 estate appraisal, and materials laboratory services. These
24-22 engineering-related services are for highway improvements,
24-23 right-of-way acquisition, and aviation improvements [department's
24-24 policy regarding the regular use of private sector professional
24-25 services for preliminary and construction engineering and
24-26 engineering design shall achieve a balance between the use of
24-27 department employees and the use of private contractors if the
25-1 costs are equivalent].
25-2 (b) The department, in setting the level of expenditures in
25-3 these engineering-related activities that will be paid to the
25-4 private sector providers, shall index the level of expenditures
25-5 from the amount set by rider in the General Appropriations Act
25-6 enacted by the 75th Legislature at its regular session in 1997,
25-7 expressed as a percentage of the total funds appropriated in
25-8 Strategy A.1.1. Plan/Design/Manage [office of the state auditor
25-9 shall determine relevant costs to be considered under Subsection
25-10 (a)].
25-11 (c) Beginning in fiscal year 2000, the department shall
25-12 increase its expenditures to private sector providers for
25-13 engineering-related services at least one percentage point per year
25-14 until the expenditure level in all strategies paid to private
25-15 sector providers for all department engineering-related services
25-16 for transportation projects reaches a goal of 35 percent of funds
25-17 appropriated in Strategy A.1.1. Plan/Design/Manage of the General
25-18 Appropriations Act enacted by the 75th Legislature at its regular
25-19 session in 1997.
25-20 (d) The commission may provide for hearings at which private
25-21 sector complaints relating to the selection process are heard.
25-22 SECTION 1.24. Chapter 224, Transportation Code, is amended
25-23 by adding Subchapter F to read as follows:
25-24 SUBCHAPTER F. CONGESTION MITIGATION PROJECTS AND FACILITIES
25-25 Sec. 224.151. DEFINITIONS. In this subchapter:
25-26 (1) "Congestion" means the level at which
25-27 transportation system performance is no longer acceptable because
26-1 of traffic interference. The level of acceptable system
26-2 performance may vary by type of transportation facility, geographic
26-3 location, or time of day.
26-4 (2) "Congestion mitigation" means projects and
26-5 facilities used to reduce congestion to promote the use of carpools
26-6 and vanpools, improve air quality, conserve fuel, and enhance the
26-7 use of existing highways and facilities on the state highway
26-8 system.
26-9 (3) "High occupancy vehicle" means a bus or other
26-10 motorized passenger vehicle such as a carpool or vanpool vehicle
26-11 used for ridesharing purposes and occupied by a specified minimum
26-12 number of persons.
26-13 (4) "High occupancy vehicle lane" means one or more
26-14 lanes of a highway or an entire highway where high occupancy
26-15 vehicles, trucks, or emergency vehicles in any combination are
26-16 given at all times, or at regularly scheduled times, a priority or
26-17 preference over some or all other vehicles moving in the general
26-18 stream of all highway traffic.
26-19 (5) "Motor vehicle" has the meaning assigned by
26-20 Section 522.003.
26-21 (6) "Transportation corporation" means a
26-22 transportation corporation created by the state under Chapter 431.
26-23 Sec. 224.152. PURPOSE. (a) Subject to the availability of
26-24 state and federal funds, it is the intent of the legislature to
26-25 further the purposes of the United States Congress as expressed in
26-26 23 U.S.C. Sections 134, 135, 146, and 149 and in Section 1012(b) of
26-27 Pub. L. No. 102-240 to conserve fuel, decrease traffic congestion
27-1 during rush hours, improve air quality, develop innovative
27-2 techniques to finance transportation projects, and enhance the use
27-3 of existing highways and facilities.
27-4 (b) The legislature declares that it is necessary, to
27-5 further the purposes described by Subsection (a), to provide for
27-6 the participation of the commission and the department in projects
27-7 and facilities for the purpose of congestion mitigation.
27-8 Sec. 224.153. HIGH OCCUPANCY VEHICLE LANES AUTHORIZED.
27-9 (a) The commission may designate and the department or a
27-10 transportation corporation may design, construct, operate, or
27-11 maintain one or more lanes on a multi-lane highway facility as
27-12 dedicated high occupancy vehicle lanes on the state highway system.
27-13 (b) The commission may spend or allocate any available funds
27-14 to:
27-15 (1) designate highway lanes as preferential carpool or
27-16 high occupancy vehicle lanes and create facilities to relieve
27-17 traffic congestion; or
27-18 (2) make any other designation of a dedicated high
27-19 occupancy vehicle lane on the state highway system.
27-20 Sec. 224.154. CONGESTION MITIGATION. (a) Notwithstanding
27-21 any law of this state relating to charging tolls on existing free
27-22 public highways, the commission may by order authorize the
27-23 department or a transportation corporation to charge a toll for the
27-24 use of one or more lanes of a state highway facility, including a
27-25 high occupancy vehicle lane, for the purposes of congestion
27-26 mitigation. The commission may enter into an agreement with a
27-27 regional tollway authority described in Chapter 366, or a transit
28-1 authority described in Chapter 451, 452, or 453, to charge a toll
28-2 for the use of one or more lanes of a state highway facility under
28-3 this subsection.
28-4 (b) The commission may by order set the amount of toll
28-5 charges. Any toll charges shall be imposed in a reasonable and
28-6 nondiscriminatory manner.
28-7 (c) For purposes of congestion mitigation projects and
28-8 facilities under this subchapter, the department, a transportation
28-9 corporation, and a regional tollway authority or a transit
28-10 authority with whom the commission has an agreement under this
28-11 section are successor agencies to the Texas Turnpike Authority for
28-12 purposes of Section 52-b, Article III, Texas Constitution.
28-13 (d) Revenue generated from toll charges and administrative
28-14 fees assessed by the department in connection with a congestion
28-15 mitigation facility shall be deposited in the state highway fund
28-16 and may be used only for projects for the improvement of the state
28-17 highway system. Revenue generated from toll charges and
28-18 administrative fees assessed by an entity with whom the commission
28-19 contracts under this section shall be allocated as required by the
28-20 terms of the agreement.
28-21 (e) The powers granted by this section are subject to the
28-22 restrictions of 23 U.S.C. Section 129.
28-23 Sec. 224.155. FAILURE OR REFUSAL TO PAY TOLL CHARGES. Any
28-24 motor vehicle other than a police or emergency vehicle that is
28-25 driven or towed through a toll collection facility shall pay the
28-26 proper toll.
28-27 Sec. 224.156. ADMINISTRATIVE FEE; NOTICE. (a) In the event
29-1 of nonpayment of the proper toll, on issuance of proper notice of
29-2 nonpayment, the registered owner of the nonpaying vehicle is
29-3 legally bound to pay both the proper toll and an administrative
29-4 fee.
29-5 (b) The commission by rule and a transportation corporation
29-6 by order of its board of directors may respectively fix an
29-7 administrative fee, not to exceed $100, to recover the cost of
29-8 collecting an unpaid toll. The notice of nonpayment to the
29-9 registered owner shall be sent by the department by first-class
29-10 mail not later than 30 days after the date of the alleged failure
29-11 to pay and may require payment not sooner than 30 days after the
29-12 date the notice was mailed. The registered owner shall pay a
29-13 separate toll and administrative fee for each event of nonpayment.
29-14 (c) If the registered owner of the vehicle fails to pay the
29-15 proper toll and administrative fee within the time specified by the
29-16 notice of nonpayment issued under this section, the registered
29-17 owner shall be cited as for other traffic violations for the
29-18 nonpayment, and the owner is legally bound to pay a fine, not to
29-19 exceed $250, for each event of nonpayment. Neither the legal
29-20 obligation to pay nor the actual payment of the fine affects the
29-21 legal duty of the owner for any other fine or penalty prescribed by
29-22 law.
29-23 Sec. 224.157. PROSECUTIONS. (a) In the prosecution of a
29-24 violation under Sections 224.155 and 224.156, proof that the
29-25 vehicle passed through a toll collection facility without payment
29-26 of the proper toll, together with proof that the defendant was the
29-27 registered owner of the vehicle when the failure to pay occurred,
30-1 establishes the nonpayment of the registered owner.
30-2 (b) The court of the local jurisdiction in which the
30-3 violation occurred may assess and collect the fine in addition to
30-4 any court costs. The court shall also collect the proper toll and
30-5 administrative fee and forward the toll and fee to the department
30-6 or to the transportation corporation.
30-7 (c) It is a defense to nonpayment under Section 224.155 or
30-8 224.156 that the motor vehicle in question was stolen before the
30-9 failure to pay the proper toll occurred and was not recovered by
30-10 the time of the failure to pay, but only if the theft was reported
30-11 to the appropriate law enforcement authority before the earlier of:
30-12 (1) the occurrence of the failure to pay; or
30-13 (2) eight hours after discovery of the theft.
30-14 (d) A registered owner who is a lessor of a vehicle
30-15 concerning which a notice of nonpayment was issued under Section
30-16 224.156 is not liable in connection with that notice of nonpayment
30-17 if, not later than 30 days after the date the notice of nonpayment
30-18 is mailed, the registered owner provides to the department or the
30-19 transportation corporation a copy of the rental, lease, or other
30-20 contract document covering the vehicle on the date of the
30-21 nonpayment, with the name and address of the lessee clearly
30-22 legible. Failure to provide this information within the period
30-23 prescribed renders the lessor liable as the registered owner. If
30-24 the lessor provides the required information within the period
30-25 prescribed, the lessee of the vehicle on the date of the violation
30-26 is considered to be the owner of the vehicle for purposes of this
30-27 subchapter and is subject to prosecution for failure to pay the
31-1 proper toll as if the lessee were the registered owner, if the
31-2 department or the transportation corporation sends a notice of
31-3 nonpayment to the lessee by first-class mail within 30 days after
31-4 the date of receipt of the required information from the lessor.
31-5 Sec. 224.158. USE AND RETURN OF TRANSPONDERS. (a) For
31-6 purposes of this section, a "transponder" means a device, placed on
31-7 or within a motor vehicle, that is capable of transmitting
31-8 information used to assess or collect tolls. A transponder is
31-9 "insufficiently funded" when there are no remaining funds in the
31-10 account in connection with which the transponder was issued.
31-11 (b) Any law enforcement officer of the Department of Public
31-12 Safety has the authority to seize a stolen or insufficiently funded
31-13 transponder and to return it to the department or the
31-14 transportation corporation, except that an insufficiently funded
31-15 transponder may not be seized sooner than 30 days after the date
31-16 the department or the transportation corporation has sent a notice
31-17 of delinquency to the holder of the account.
31-18 Sec. 224.159. ADOPTION OF RULES; PRESCRIBE FORMS. The
31-19 commission shall adopt rules and prescribe forms to administer this
31-20 subchapter.
31-21 SECTION 1.25. Section 431.073, Transportation Code, is
31-22 amended to read as follows:
31-23 Sec. 431.073. PROJECT IN COUNTY OF 500,000 [1.5 MILLION] OR
31-24 MORE OR ADJACENT COUNTY. (a) This section applies only to a
31-25 corporation [in existence on August 31, 1991,] that was created by
31-26 the state or one or more counties or municipalities to implement a
31-27 transportation project in:
32-1 (1) a county with a population of 500,000 [1.5
32-2 million] or more; or
32-3 (2) a county adjacent to a county described by
32-4 Subdivision (1).
32-5 (b) If approved and authorized by the commission, a
32-6 corporation created by the state has the rights, powers,
32-7 privileges, authority, and functions given the department under
32-8 this title to:
32-9 (1) construct, improve, operate, and maintain high
32-10 occupancy vehicle lanes; and
32-11 (2) charge a toll for the use of one or more high
32-12 occupancy vehicle lanes for the purpose of congestion mitigation.
32-13 (c) A corporation in existence on August 31, 1991, has the
32-14 powers, rights, and privileges of a corporation created under
32-15 Chapter 11, Title 32, Revised Statutes, as that law existed on
32-16 August 31, 1991, except that the required right-of-way of any
32-17 highway, road, street, or turnpike may be of the width required or
32-18 approved by the commission or each governing body creating the
32-19 corporation.
32-20 SECTION 1.26. Section 224.033, Transportation Code, is
32-21 amended to read as follows:
32-22 Sec. 224.033. COUNTY IMPROVEMENT OF STATE SYSTEM. (a) The
32-23 commission may enter into an agreement with the commissioners court
32-24 of a county [may contract with the department] for the improvement
32-25 by the county of the state highway system.
32-26 (b) In this section, "improvement" means construction,
32-27 reconstruction, maintenance, and the making of a necessary plan or
33-1 survey before beginning construction, reconstruction, or
33-2 maintenance and includes a project or activity[:]
33-3 [(1)] appurtenant to a state highway and including
33-4 drainage facilities, surveying, traffic counts, driveways,
33-5 landscaping, signs, lights, or guardrails[; or]
33-6 [(2) involving maintenance of a state highway and
33-7 appurtenant facilities].
33-8 SECTION 1.27. Section 251.014, Transportation Code, is
33-9 amended to read as follows:
33-10 Sec. 251.014. COUNTY IMPROVEMENT OF STATE HIGHWAY. (a) The
33-11 commissioners court of a county may enter into an agreement
33-12 [contract] with the commission [department] for the county to carry
33-13 out a project or activity for the improvement of a segment of the
33-14 state highway system.
33-15 (b) In this section, "improvement" means construction,
33-16 reconstruction, maintenance, and the making of a necessary plan or
33-17 survey before beginning construction, reconstruction, or
33-18 maintenance and includes a [if the] project or activity[:]
33-19 [(1) is] appurtenant to a state highway, including
33-20 surveying, making a traffic count, or landscaping or an activity
33-21 relating to a drainage facility, driveway, sign, light, or
33-22 guardrail[; or]
33-23 [(2) involves maintenance of a state highway or
33-24 appurtenant facility].
33-25 SECTION 1.28. Chapter 455, Transportation Code, is amended
33-26 by adding Section 455.0015 to read as follows:
33-27 Sec. 455.0015. TRANSPORTATION NEEDS OF CLIENTS OF HEALTH AND
34-1 HUMAN SERVICES AGENCIES. In performing its public transportation
34-2 planning and funding activities, the department shall consider and
34-3 include the transportation needs of those persons who are clients
34-4 of the health and human services agencies of this state.
34-5 SECTION 1.29. Section 623.074, Transportation Code, is
34-6 amended by adding Subsection (d) to read as follows:
34-7 (d) The department may by rule authorize an applicant to
34-8 submit an application electronically. An electronically submitted
34-9 application shall be considered signed if a digital signature is
34-10 transmitted with the application and intended by the applicant to
34-11 authenticate the application. For purposes of this subsection,
34-12 "digital signature" means an electronic identifier intended by the
34-13 person using it to have the same force and effect as the use of a
34-14 manual signature.
34-15 SECTION 1.30. (a) Not later than April 30, 1998, the Texas
34-16 Department of Transportation shall complete a study of alternative
34-17 routes for a second transportation link from the mainland to South
34-18 Padre Island that would:
34-19 (1) provide an alternative for emergency ingress or
34-20 egress for permanent residents and daily and overnight visitors;
34-21 (2) better disperse the traffic on the island to
34-22 reduce congestion at the southern end of the island;
34-23 (3) reduce the travel time and cost by providing a
34-24 more direct route to the island from upper Rio Grande Valley
34-25 locations and provide relief to traffic congestion in
34-26 municipalities along existing highway routes; and
34-27 (4) give priority to environmentally friendly
35-1 alternative options, such as a light-rail highway combination, that
35-2 could be anchored at the Valley International Airport and the South
35-3 Padre Convention Center or at other logical destinations.
35-4 (b) The Texas Department of Transportation shall, not later
35-5 than December 31, 1998, report to the legislature on the
35-6 department's plans to implement the recommendations of the study
35-7 described by Subsection (a) of this section.
35-8 SECTION 1.31. Subsection (b), Section 201.109,
35-9 Transportation Code, is amended to read as follows:
35-10 (b) In carrying out this section, the commission shall
35-11 provide for:
35-12 (1) maximizing the generation of revenue from existing
35-13 assets of the department, including real estate;
35-14 (2) increasing the role of the private sector and
35-15 public-private projects in the leasing of real estate and other
35-16 assets in the development of highway projects;
35-17 (3) setting and attempting to meet annual revenue
35-18 enhancement goals;
35-19 (4) reporting on the progress in meeting revenue
35-20 enhancement goals in the department's annual report; [and]
35-21 (5) contracting for an independent audit of the
35-22 department's management and business operations in 2001 and each
35-23 12th year after 2001; and
35-24 (6) developing a cost-benefit analysis between the use
35-25 of local materials previously incorporated into roadways versus use
35-26 of materials blended or transported from other sources.
35-27 SECTION 1.32. Subchapter C, Chapter 791, Government Code, is
36-1 amended by adding Section 791.031 to read as follows:
36-2 Sec. 791.031. TRANSPORTATION INFRASTRUCTURE. (a) This
36-3 section applies only to a local government, other than a school
36-4 district, that is authorized to impose ad valorem taxes on real
36-5 property.
36-6 (b) The Texas Department of Transportation may enter into an
36-7 interlocal contract with a local government for the financing of
36-8 transportation infrastructure that is constructed or that is to be
36-9 constructed in the territory of the local government by the
36-10 department in a corridor of land on which no existing state or
36-11 federal highway is located.
36-12 (c) The agreement must include:
36-13 (1) the duration of the agreement, which may not
36-14 exceed 12 years;
36-15 (2) a description of each transportation
36-16 infrastructure project or proposed project;
36-17 (3) a map showing the location of each project and
36-18 property included in the contract; and
36-19 (4) an estimate of the cost of each project.
36-20 (d) The agreement may establish one or more transportation
36-21 infrastructure zones. The Texas Department of Transportation and
36-22 the local government may agree that at one or more specified times,
36-23 the local government will pay to the Texas Department of
36-24 Transportation an amount that is calculated on the basis of
36-25 increased ad valorem tax collections in a zone that are
36-26 attributable to increased values of property located in the zone
36-27 resulting from an infrastructure project. The amount may not
37-1 exceed an amount that is equal to 30 percent of the increase in ad
37-2 valorem tax collections for the specified period.
37-3 (e) Money received by the Texas Department of Transportation
37-4 under this section may be used:
37-5 (1) to provide a local match for the acquisition of
37-6 right-of-way in the territory of the local government; or
37-7 (2) for design, construction, operation, or
37-8 maintenance of transportation facilities in the territory of the
37-9 local government.
37-10 SECTION 1.33. As soon as practicable, the Texas Department
37-11 of Transportation, using funds authorized by minute order 106860
37-12 passed by the Texas Transportation Commission on June 18, 1996,
37-13 shall conduct a study to explore whether it is practical for the
37-14 department to develop and carry out a statewide Type II Noise
37-15 Abatement Program.
37-16 ARTICLE 2. OUTDOOR ADVERTISING
37-17 SECTION 2.01. Section 391.065, Transportation Code, is
37-18 amended by adding Subsection (c) to read as follows:
37-19 (c) The commission may not adopt a rule under this chapter
37-20 that restricts competitive bidding or advertising by the holder of
37-21 a license issued under this chapter other than a rule to prohibit
37-22 false, misleading, or deceptive practices. The limitation provided
37-23 by this section applies only to rules relating to the occupation of
37-24 outdoor advertiser and does not affect the commission's power to
37-25 regulate the orderly and effective display of outdoor advertising
37-26 under this chapter. A rule to prohibit false, misleading, or
37-27 deceptive practices may not:
38-1 (1) restrict the use of:
38-2 (A) any legal medium for an advertisement;
38-3 (B) the license holder's advertisement under a
38-4 trade name; or
38-5 (C) the license holder's personal appearance or
38-6 voice in an advertisement, if the license holder is an individual;
38-7 or
38-8 (2) relate to the size or duration of an advertisement
38-9 by the license holder.
38-10 SECTION 2.02. Section 391.062, Transportation Code, is
38-11 amended by adding Subsection (c) to read as follows:
38-12 (c) At least 30 days before the date on which a person's
38-13 license expires, the commission shall notify the person of the
38-14 impending expiration. The notice must be in writing and sent to
38-15 the person's last known address according to the records of the
38-16 commission.
38-17 SECTION 2.03. Subsection (a), Section 391.066,
38-18 Transportation Code, is amended to read as follows:
38-19 (a) The commission may revoke or suspend a license issued
38-20 under this subchapter or place on probation a license holder whose
38-21 license is suspended if the license holder violates this chapter or
38-22 a rule adopted under this chapter. If the suspension of the
38-23 license is probated, the department may require the license holder
38-24 to report regularly to the commission on any matter that is the
38-25 basis of the probation.
38-26 SECTION 2.04. Subchapter D, Chapter 391, Transportation
38-27 Code, is amended by adding Sections 391.097 and 391.098 to read as
39-1 follows:
39-2 Sec. 391.097. MAJOR AGRICULTURAL INTEREST SIGN. (a) In
39-3 this section:
39-4 (1) "Eligible rural highway" means a highway that:
39-5 (A) has noncontrolled access; and
39-6 (B) is outside the corporate limits of a
39-7 municipality.
39-8 (2) "Major agricultural interest" means a farm, ranch,
39-9 winery, nursery, greenhouse, or other facility that:
39-10 (A) sows or cultivates an agricultural product;
39-11 (B) devotes a minimum of five acres of land to
39-12 the production of the agricultural product;
39-13 (C) markets the product on the premises as a
39-14 retail sale of the product; and
39-15 (D) conducts public tours of the grounds or
39-16 facilities.
39-17 (b) The commission shall enter into one or more contracts
39-18 with an individual, firm, group, or association in this state to
39-19 erect and maintain major agricultural interest signs at appropriate
39-20 locations along eligible rural highways.
39-21 (c) A contract under this section shall provide for:
39-22 (1) the assessment of fees to be paid to a contractor
39-23 by a commercial establishment of a major agricultural interest; and
39-24 (2) remittance to the department of a portion of the
39-25 fees collected by the contractor in an amount sufficient to recover
39-26 the department's costs of administering the program.
39-27 (d) To be eligible to have its name displayed on a major
40-1 agricultural interest sign, a major agricultural interest must be
40-2 located within five miles of an intersection with an eligible rural
40-3 highway.
40-4 (e) A major agricultural interest sign must:
40-5 (1) have a brown background with a white reflective
40-6 legend and border;
40-7 (2) not contain a corporate or trademark symbol; and
40-8 (3) not contain a message, symbol, or trademark that
40-9 resembles an official traffic control device.
40-10 (f) The commission shall:
40-11 (1) regulate the content, composition, placement,
40-12 erection, and maintenance of major agricultural interest signs and
40-13 supports on an eligible rural highway right-of-way; and
40-14 (2) adopt rules necessary to administer and enforce
40-15 this section.
40-16 Sec. 391.098. VARIANCES. (a) The commission shall
40-17 authorize the director to grant variances, on a case-by-case basis,
40-18 to the eligibility, location, or placement of specific logo signs,
40-19 major agricultural interest signs, and major shopping area guide
40-20 signs, including the highways along which a sign may be located.
40-21 The commission may adopt rules prescribing conditions or guidelines
40-22 the director should or must consider when determining whether to
40-23 grant a variance.
40-24 (b) The director may grant a variance if the director
40-25 determines that:
40-26 (1) the variance would promote traffic safety;
40-27 (2) the variance would improve traffic flow;
41-1 (3) an overpass, highway sign, or other highway
41-2 structure unduly obstructs the visibility of an existing commercial
41-3 sign; or
41-4 (4) the variance would satisfy other conditions or
41-5 guidelines prescribed by commission rules authorizing the granting
41-6 of variances.
41-7 (c) The director may not grant a variance to the
41-8 requirements of this subchapter regarding supports, content, or
41-9 composition of signs.
41-10 SECTION 2.05. Section 394.003, Transportation Code, is
41-11 amended by adding Subsection (c) to read as follows:
41-12 (c) This chapter does not apply to a directional sign for a
41-13 small business, as defined by Section 2006.001, Government Code,
41-14 if the sign:
41-15 (1) is on private property; and
41-16 (2) has a surface area not larger than 50 square feet.
41-17 SECTION 2.06. Subsection (b), Section 394.021,
41-18 Transportation Code, is amended to read as follows:
41-19 (b) Except as otherwise authorized by this chapter, the
41-20 commission may not issue a permit for an off-premise sign unless
41-21 the sign is to be located:
41-22 (1) within 800 feet of a [one or more] recognized
41-23 commercial or industrial business activity or the office of a
41-24 governmental entity [activities]; and
41-25 (2) on the same side of the road as the business
41-26 activity or the office of the governmental entity [activities].
41-27 ARTICLE 3. TEXAS MOTOR VEHICLE COMMISSION CODE
42-1 SECTION 3.01. Section 2.02A, Texas Motor Vehicle Commission
42-2 Code (Article 4413(36), Vernon's Texas Civil Statutes), is amended
42-3 to read as follows:
42-4 Sec. 2.02A. APPOINTMENTS. Appointments to the Commission
42-5 shall be made without [with due] regard to [for] the race, color,
42-6 disability, sex, religion, or [ethnicity, gender, and] national
42-7 origin of the appointees.
42-8 SECTION 3.02. Subchapter B, Texas Motor Vehicle Commission
42-9 Code (Article 4413(36), Vernon's Texas Civil Statutes), is amended
42-10 by adding Section 2.03A to read as follows:
42-11 Sec. 2.03A. TRAINING ON DEPARTMENT AND CERTAIN LAWS RELATING
42-12 TO DEPARTMENT. (a) To be eligible to take office as a member of
42-13 the Commission, a person appointed to the Commission must complete
42-14 at least one course of a training program that complies with this
42-15 section.
42-16 (b) The training program must provide information to the
42-17 person regarding:
42-18 (1) this Act;
42-19 (2) the programs operated by the department;
42-20 (3) the role and functions of the department;
42-21 (4) the rules of the department with an emphasis on
42-22 the rules that relate to disciplinary and investigatory authority;
42-23 (5) the current budget for the department;
42-24 (6) the results of the most recent formal audit of the
42-25 department;
42-26 (7) the requirements of the:
42-27 (A) open meetings law, Chapter 551, Government
43-1 Code;
43-2 (B) open records law, Chapter 552, Government
43-3 Code; and
43-4 (C) administrative procedure law, Chapter 2001,
43-5 Government Code;
43-6 (8) the requirements of the conflict of interest laws
43-7 and other laws relating to public officials; and
43-8 (9) any applicable ethics policies adopted by the
43-9 Commission or the Texas Ethics Commission.
43-10 (c) A person appointed to the Commission is entitled to
43-11 reimbursement for travel expenses incurred in attending the
43-12 training program, as provided by the General Appropriations Act and
43-13 as if the person were a member of the Commission.
43-14 SECTION 3.03. Subsection (b), Section 2.08, Texas Motor
43-15 Vehicle Commission Code (Article 4413(36), Vernon's Texas Civil
43-16 Statutes), is amended to read as follows:
43-17 (b) The Commission is subject to Chapters 551 and 2001,
43-18 Government Code [the open meetings law, Chapter 271, Acts of the
43-19 60th Legislature, Regular Session, 1967, as amended (Article
43-20 6252-17, Vernon's Texas Civil Statutes)].
43-21 SECTION 3.04. Subsection (c), Section 2.08A, Texas Motor
43-22 Vehicle Commission Code (Article 4413(36), Vernon's Texas Civil
43-23 Statutes), is amended to read as follows:
43-24 (c) If the Executive Director has knowledge that a potential
43-25 ground for removal exists, the Executive Director shall notify the
43-26 Chairman of the Commission of the ground. The Chairman shall then
43-27 notify the Governor and the Attorney General that a potential
44-1 ground for removal exists. If the potential ground for removal
44-2 relates to the Chairman of the Commission, the Executive Director
44-3 shall notify the Vice-chairman of the Commission, who shall notify
44-4 the Governor and the Attorney General that a potential ground for
44-5 removal exists.
44-6 SECTION 3.05. Subsection (e), Section 2.09, Texas Motor
44-7 Vehicle Commission Code (Article 4413(36), Vernon's Texas Civil
44-8 Statutes), is amended to read as follows:
44-9 (e) The Executive Director shall appoint and employ such
44-10 Commission staff as are necessary to carry out the duties and
44-11 functions of the Executive Director and the Commission under this
44-12 Act. The Commission shall develop and implement policies that
44-13 clearly separate the policy-making [define the respective]
44-14 responsibilities of the Commission and the management
44-15 responsibilities of the Executive Director and staff of the
44-16 Commission.
44-17 SECTION 3.06. Subsection (b), Section 2.10, Texas Motor
44-18 Vehicle Commission Code (Article 4413(36), Vernon's Texas Civil
44-19 Statutes), is amended to read as follows:
44-20 (b) The Commission shall file annually with the Governor and
44-21 the presiding officer of each house of the legislature a complete
44-22 and detailed written report accounting for all funds received and
44-23 disbursed by the Commission during the preceding fiscal year. The
44-24 annual report must comply with each reporting requirement
44-25 applicable to financial reporting [be in the form and reported in
44-26 the time] provided by the General Appropriations Act.
44-27 SECTION 3.07. Section 2.12, Texas Motor Vehicle Commission
45-1 Code (Article 4413(36), Vernon's Texas Civil Statutes), is amended
45-2 to read as follows:
45-3 Sec. 2.12. COMPLAINTS. (a) The Commission shall:
45-4 (1) keep an information file about each complaint
45-5 filed with the Commission that the Commission has authority to
45-6 resolve; and
45-7 (2) provide the person who filed the complaint, and
45-8 each person or entity that is the subject of the complaint,
45-9 information about the Commission's policies and procedures relating
45-10 to complaint investigation and resolution.
45-11 (b) If a written complaint is filed with the Commission that
45-12 the Commission has authority to resolve, the Commission, at least
45-13 quarterly and until final disposition of the complaint, shall
45-14 notify the parties to the complaint of the status of the complaint
45-15 unless the notice would jeopardize an ongoing Commission
45-16 investigation.
45-17 (c) With regard to each complaint filed with the Commission,
45-18 the Commission shall keep the following information:
45-19 (1) the date the complaint is filed;
45-20 (2) the name of the person filing the complaint;
45-21 (3) the subject matter of the complaint;
45-22 (4) a record of each person contacted in relation to
45-23 the complaint;
45-24 (5) a summary of the results of the review or
45-25 investigation of the complaint; and
45-26 (6) if the Commission takes no action on the
45-27 complaint, an explanation of the reasons that no action was taken.
46-1 SECTION 3.08. Subsections (a), (b), and (d), Section 2.13,
46-2 Texas Motor Vehicle Commission Code (Article 4413(36), Vernon's
46-3 Texas Civil Statutes), are amended to read as follows:
46-4 (a) The Executive Director or his designee shall develop an
46-5 intraagency career ladder program that addresses opportunities for
46-6 mobility and advancement of employees in the Commission. The
46-7 program shall require intraagency postings of all [nonentry level]
46-8 positions concurrently with any public posting.
46-9 (b) The Executive Director or his designee shall develop a
46-10 system of annual performance evaluations that are based on
46-11 documented employee performance. All merit pay for Commission
46-12 employees must be based on the system established under this
46-13 subsection.
46-14 (d) The Executive Director or his designee shall prepare and
46-15 maintain a written policy statement to assure implementation of a
46-16 program of equal employment opportunity under which all personnel
46-17 transactions are made without regard to race, color, disability
46-18 [handicap], sex, religion, age, or national origin. The policy
46-19 statement must include:
46-20 (1) personnel policies, including policies relating to
46-21 recruitment, evaluation, selection, appointment, training, and
46-22 promotion of personnel that comply with Chapter 21, Labor Code;
46-23 (2) a comprehensive analysis of the Commission work
46-24 force that meets federal and state laws, rules, and regulations,
46-25 and instructions directly adopted under those laws, rules, or
46-26 regulations [guidelines];
46-27 (3) procedures by which a determination can be made of
47-1 significant underuse in the Commission work force of all persons
47-2 for whom federal or state laws, rules, and regulations, and
47-3 instructions directly adopted under those laws, rules, or
47-4 regulations, [guidelines] encourage a more equitable balance; and
47-5 (4) reasonable methods to appropriately address those
47-6 areas of significant underuse.
47-7 A policy statement prepared under this subsection must cover
47-8 an annual period, be updated at least annually, be reviewed by the
47-9 Texas Commission on Human Rights for compliance with Subdivision
47-10 (1) of this subsection, and be filed with the Governor's office.
47-11 The Governor's office shall deliver a biennial report to the
47-12 legislature based on the information received under this
47-13 subsection. The report may be made separately or as a part of
47-14 other biennial reports made to the legislature.
47-15 SECTION 3.09. Section 4.01B, Texas Motor Vehicle Commission
47-16 Code (Article 4413(36), Vernon's Texas Civil Statutes), is amended
47-17 to read as follows:
47-18 Sec. 4.01B. [NOTICE OF] LICENSE EXPIRATION. (a) The
47-19 Commission by rule may implement a system under which licenses
47-20 expire on various dates during the year.
47-21 (b) The Commission shall notify each person licensed under
47-22 this Act of the date of license expiration and the amount of the
47-23 fee required for license renewal. The notice shall be mailed at
47-24 least thirty days before the date of license expiration.
47-25 (c) For a year in which a license expiration date is
47-26 changed, the fee for the license shall be prorated so that the
47-27 holder of the license pays only that portion of the license fee
48-1 that is allocable to the number of months during which the license
48-2 is valid. On renewal of the license on the new expiration date,
48-3 the entire license renewal fee is payable.
48-4 ARTICLE 4. MOTOR CARRIERS
48-5 SECTION 4.01. Subsection (i), Section 3, Article 6675c,
48-6 Revised Statutes, is amended to read as follows:
48-7 (i) A registration issued under this article is valid for
48-8 one year. The department may adopt a system under which
48-9 registrations expire at different times during the year. At least
48-10 30 days before the date on which a motor carrier's registration
48-11 expires, the department shall notify the carrier of the impending
48-12 expiration. The notice must be in writing and sent to the motor
48-13 carrier's last known address according to the records of the
48-14 department. A motor carrier may renew a registration under this
48-15 article by:
48-16 (1) supplementing the application with any new
48-17 information required under Subsection (g) of this section;
48-18 (2) paying a $10 fee for each vehicle requiring
48-19 registration the carrier operates; and
48-20 (3) showing the department evidence of continuing
48-21 insurance or financial responsibility in an amount at least equal
48-22 to the amount set by the department under Section 4(a) of this
48-23 article.
48-24 SECTION 4.02. Section 7, Article 6675c, Revised Statutes, is
48-25 amended to read as follows:
48-26 Sec. 7. Suspension and revocation of registration. (a) The
48-27 department may suspend or revoke a registration issued under this
49-1 article or place on probation a motor carrier whose registration is
49-2 suspended if:
49-3 (1) a motor carrier fails to maintain insurance as
49-4 required by Section 4(a) or (b) of this article;
49-5 (2) a motor carrier fails to keep proof of insurance
49-6 in the cab of each vehicle as required by Section 4(e) of this
49-7 article;
49-8 (3) a motor carrier fails to register a vehicle
49-9 requiring registration; or
49-10 (4) a motor carrier knowingly provides false
49-11 information on any form filed with the department under this
49-12 section.
49-13 (b) The Department of Public Safety may request that the
49-14 department suspend or revoke a registration issued under this
49-15 article or place on probation a motor carrier whose registration is
49-16 suspended if a motor carrier:
49-17 (1) has an unsatisfactory safety rating under 49
49-18 C.F.R. Part 385; or
49-19 (2) has multiple violations of a provision of Article
49-20 6675d, Revised Statutes, a rule adopted under that article, or the
49-21 Uniform Act Regulating Traffic on Highways (Article 6701d, Vernon's
49-22 Texas Civil Statutes).
49-23 (c) Except as provided by Subsection (d) of this section, a
49-24 suspension or revocation or the imposition of probation made under
49-25 Subsection (a) or (b) of this section is a contested case under
49-26 Chapter 2001, Government Code.
49-27 (d) The department may suspend or revoke a registration
50-1 issued under this article or place on probation a motor carrier
50-2 whose registration is suspended without a hearing under Chapter
50-3 2001, Government Code, if:
50-4 (1) the department provides notice to the motor
50-5 carrier of:
50-6 (A) the proposed suspension or revocation; and
50-7 (B) the right of the carrier to request a
50-8 hearing under Chapter 2001, Government Code; and
50-9 (2) the motor carrier fails to provide the department
50-10 with a written request for a hearing within 10 days after the date
50-11 the carrier receives the notice described in Subdivision (1) of
50-12 this subsection.
50-13 (e) If the suspension of a motor carrier's registration is
50-14 probated, the department may require the carrier to report
50-15 regularly to the department on any matter that is the basis of the
50-16 probation.
50-17 SECTION 4.03. Section 8, Article 6675c, Revised Statutes, is
50-18 amended by adding Subsection (g) to read as follows:
50-19 (g) The department may not by rule restrict competitive
50-20 bidding or advertising by a motor carrier except to prohibit false,
50-21 misleading, or deceptive practices. A rule to prohibit false,
50-22 misleading, or deceptive practices may not:
50-23 (1) restrict the use of:
50-24 (A) any medium for an advertisement;
50-25 (B) the motor carrier's advertisement under a
50-26 trade name; or
50-27 (C) the motor carrier's personal appearance or
51-1 voice in an advertisement, if the motor carrier is an individual;
51-2 or
51-3 (2) relate to the size or duration of an advertisement
51-4 by the motor carrier.
51-5 ARTICLE 5. SALVAGE VEHICLE DEALERS
51-6 SECTION 5.01. Section 1.02, Article 6687-1a, Revised
51-7 Statutes, is amended by adding Subsection (c) to read as follows:
51-8 (c) The commission may not adopt a rule under this article
51-9 that restricts competitive bidding or advertising by a person who
51-10 holds a license issued under this article other than a rule to
51-11 prohibit false, misleading, or deceptive practices. A rule to
51-12 prohibit false, misleading, or deceptive practices may not:
51-13 (1) restrict the use of:
51-14 (A) any medium for an advertisement;
51-15 (B) the license holder's advertisement under a
51-16 trade name; or
51-17 (C) the license holder's personal appearance or
51-18 voice in an advertisement, if the license holder is an individual;
51-19 or
51-20 (2) relate to the size or duration of an advertisement
51-21 by the license holder.
51-22 SECTION 5.02. Section 2.07, Article 6687-1a, Revised
51-23 Statutes, is amended to read as follows:
51-24 Sec. 2.07. License Renewal. (a) A license issued under
51-25 this article expires on the first anniversary of the date of
51-26 issuance and may be renewed annually on or before the expiration
51-27 date on payment of the required renewal fee.
52-1 (b) A person who is otherwise eligible to renew a license
52-2 may renew an unexpired license by paying to the department before
52-3 the expiration date of the license the required renewal fee. A
52-4 person whose license has expired may not engage in the activities
52-5 that require a license until the license has been renewed under the
52-6 provisions of this section.
52-7 (c) If a person's license has been expired for 90 days or
52-8 less, the person may renew the license by paying to the department
52-9 one and one-half times the required renewal fee.
52-10 (d) If a person's license has been expired for longer than
52-11 90 days but less than one year, the person may renew the license by
52-12 paying to the department two times the required renewal fee.
52-13 (e) If a person's license has been expired for one year or
52-14 longer, the person may not renew the license. The person may
52-15 obtain a new license by complying with the requirements and
52-16 procedures for obtaining an original license. If the person was
52-17 licensed in this state, moved to another state, and has been doing
52-18 business in the other state for the two years preceding
52-19 application, the person may renew an expired license. The person
52-20 must pay to the department a fee that is equal to two times the
52-21 required renewal fee for the license.
52-22 (f) At least 30 days before the date on which a person's
52-23 license expires, the department shall notify the person of the
52-24 impending expiration. The notice must be in writing and sent to
52-25 the person's last known address according to the records of the
52-26 department. [If a license holder fails to renew the license before
52-27 its expiration date, the license holder may renew the license on
53-1 payment of the renewal fee and a late fee set by the commission.
53-2 If the license is not renewed before the first anniversary of the
53-3 date on which the license expired, the license holder must apply
53-4 for a new license in the same manner as an applicant for an initial
53-5 license.]
53-6 SECTION 5.03. Subsection (b), Section 4.01, Article 6687-1a,
53-7 Revised Statutes, is amended to read as follows:
53-8 (b) The commission shall adopt rules establishing the
53-9 grounds for the denial, suspension, revocation, or reinstatement of
53-10 a license and establishing procedures for disciplinary actions. A
53-11 rule adopted under this subsection may not conflict with a rule
53-12 adopted by the State Office of Administrative Hearings.
53-13 ARTICLE 6. VEHICLE STORAGE FACILITY ACT
53-14 SECTION 6.01. Section 4, Vehicle Storage Facility Act
53-15 (Article 6687-9a, Revised Statutes), is amended by adding
53-16 Subsection (d) to read as follows:
53-17 (d) The commission may not adopt a rule under this Act that
53-18 restricts competitive bidding or advertising by a person who holds
53-19 a license issued under this Act other than a rule to prohibit
53-20 false, misleading, or deceptive practices. A rule to prohibit
53-21 false, misleading, or deceptive practices may not:
53-22 (1) restrict the use of:
53-23 (A) any medium for an advertisement;
53-24 (B) the license holder's advertisement under a
53-25 trade name; or
53-26 (C) the license holder's personal appearance or
53-27 voice in an advertisement, if the license holder is an individual;
54-1 or
54-2 (2) relate to the size or duration of an advertisement
54-3 by the license holder.
54-4 SECTION 6.02. Subsection (a), Section 9, Vehicle Storage
54-5 Facility Act (Article 6687-9a, Revised Statutes), is amended to
54-6 read as follows:
54-7 (a) A license issued under this article is valid for the
54-8 period set by the commission. At least 30 days before the date on
54-9 which a person's license expires, the commission shall notify the
54-10 person of the impending expiration. The notice must be in writing
54-11 and sent to the person's last known address according to the
54-12 records of the commission.
54-13 SECTION 6.03. Section 10, Vehicle Storage Facility Act
54-14 (Article 6687-9a, Revised Statutes), is amended by adding
54-15 Subsections (e) and (f) to read as follows:
54-16 (e) If the commission places a person on probation under
54-17 this section, the commission may require the person to report
54-18 regularly to the commission on any matter that is the basis of the
54-19 probation.
54-20 (f) If the commission proposes to take an action under
54-21 Subsection (a) or (b) of this section, the person is entitled to a
54-22 hearing conducted by the State Office of Administrative Hearings.
54-23 Proceedings for a disciplinary action are governed by the
54-24 administrative procedure law, Chapter 2001, Government Code. Rules
54-25 of practice adopted by the commission under Section 2001.004,
54-26 Government Code, applicable to the proceedings for a disciplinary
54-27 action may not conflict with rules adopted by the State Office of
55-1 Administrative Hearings.
55-2 ARTICLE 7. TURNPIKES
55-3 SECTION 7.01. Chapter 222, Transportation Code, is amended
55-4 by adding Subchapter E to read as follows:
55-5 SUBCHAPTER E. TOLL FACILITIES
55-6 Sec. 222.101. EXPENDITURE OF MONEY. The department may
55-7 spend money from any source for the construction, maintenance, and
55-8 operation of toll facilities.
55-9 Sec. 222.102. TEMPORARY TOLL PROJECTS. The department may
55-10 recover the cost of a preventative maintenance or rehabilitation
55-11 project on a nontoll segment of the state highway system by
55-12 temporarily imposing a toll charge if the commission determines the
55-13 segment is subject to heavy passenger and commercial traffic.
55-14 Sec. 222.103. COST PARTICIPATION. (a) The department may
55-15 participate in the cost of the construction, maintenance, or
55-16 operation of a toll facility of a public or private entity on terms
55-17 and conditions established by the commission, including
55-18 requirements for repayment. The department may not participate in
55-19 the cost of a toll facility of a private entity unless the
55-20 commission determines the facility fills a demonstrated public
55-21 need.
55-22 (b) An entity receiving cost participation from the
55-23 department under this section is a successor agency to the Texas
55-24 Turnpike Authority for the purposes of Section 52-b, Article III,
55-25 Texas Constitution.
55-26 SECTION 7.02. Section 362.055, Transportation Code, is
55-27 amended to read as follows:
56-1 Sec. 362.055. EXCEPTION. This subchapter does not apply to:
56-2 (1) a county that has a population of more than 1.5
56-3 million; [or]
56-4 (2) a local government corporation created under
56-5 Chapter 431 by a county that has a population of more than 1.5
56-6 million; or
56-7 (3) a regional tollway authority created under Chapter
56-8 366.
56-9 SECTION 7.03. Section 361.001, Transportation Code, is
56-10 amended to read as follows:
56-11 Sec. 361.001. DEFINITIONS. In this chapter:
56-12 (1) "Authority" means the Texas Turnpike Authority
56-13 division of the Texas Department of Transportation [and includes
56-14 the entity that succeeds to the principal functions of the
56-15 authority or to whom by law the powers of the authority are given].
56-16 (2) "Board" means the board of directors of the
56-17 authority.
56-18 (3) ["Highway" means a road, highway, farm-to-market
56-19 road, or street under the supervision of the state or a political
56-20 subdivision of the state.]
56-21 [(4)] "Owner" includes a person having title to or an
56-22 interest in any property, rights, easements, and interests
56-23 authorized to be acquired under this chapter.
56-24 (4) [(5)] "Turnpike project" means a toll [an express]
56-25 highway constructed, maintained, or operated under this chapter as
56-26 part of the state highway system and any improvement, extension, or
56-27 expansion to the highway and includes:
57-1 (A) a facility to relieve traffic congestion and
57-2 promote safety;
57-3 (B) a bridge, tunnel, overpass, underpass,
57-4 interchange, entrance plaza, approach, toll house, or service
57-5 station;
57-6 (C) an administration, storage, or other
57-7 building the authority considers necessary to operate the project;
57-8 and
57-9 (D) property rights, easements, and interests
57-10 the authority acquires to construct or operate the project.
57-11 (5) "Regional tollway authority" means a regional
57-12 tollway authority created under Chapter 366.
57-13 SECTION 7.04. Section 361.031, Transportation Code, is
57-14 amended to read as follows:
57-15 Sec. 361.031. TEXAS TURNPIKE AUTHORITY. (a) The Texas
57-16 Turnpike Authority is a division of the Texas Department of
57-17 Transportation that has full authority to exercise all powers
57-18 granted to it under this chapter. Powers granted to the department
57-19 under this chapter, Chapter 362, and Subchapter E, Chapter 222, to
57-20 study, design, construct, operate, expand, enlarge, or extend a
57-21 turnpike project as a part of the state highway system shall be
57-22 exercised by the department acting by and through the authority
57-23 [state agency].
57-24 (b) The authority may perform, procure from other divisions
57-25 of the department with the consent of the department, or procure
57-26 from outside service providers any portion of the services the
57-27 authority requires for:
58-1 (1) right-of-way acquisition;
58-2 (2) roadway finance, design, and construction;
58-3 (3) environmental affairs; or
58-4 (4) legal services.
58-5 (c) With the approval of the commission, the authority may
58-6 perform, procure from other divisions of the department with the
58-7 consent of the department, or procure from outside service
58-8 providers any portion of the services the authority requires for
58-9 roadway maintenance or traffic operations.
58-10 (d) To perform its functions under this chapter, the
58-11 authority may use the facilities and personnel of the department in
58-12 the same manner as other divisions of the department.
58-13 (e) If the comptroller assigns numbers to state agencies for
58-14 accounting purposes, the comptroller shall assign a separate agency
58-15 number to the authority [The authority shall locate offices in
58-16 Austin, Texas, on or before September 1, 1997].
58-17 (f) [(c)] The exercise by the authority of the powers
58-18 conferred by this chapter in the construction, operation, and
58-19 maintenance of a turnpike project is:
58-20 (1) in all respects for the benefit of the people of
58-21 this state, for the increase of their commerce and prosperity, and
58-22 for the improvement of their health and living conditions and
58-23 public safety; and
58-24 (2) an essential governmental function of the state.
58-25 SECTION 7.05. Subsection (a), Section 361.032,
58-26 Transportation Code, is amended to read as follows:
58-27 (a) The board is composed of seven [12] directors. The
59-1 governor, with the advice and consent of the senate, shall appoint
59-2 six [nine] directors who represent the public. The chair of the
59-3 [Each] commission or a member of the commission designated by the
59-4 chair serves as an ex officio board member.
59-5 SECTION 7.06. Subsection (a), Section 361.033,
59-6 Transportation Code, is amended to read as follows:
59-7 (a) A person is not eligible for appointment to the board if
59-8 the person or the person's spouse:
59-9 (1) is registered, certified, or licensed by an
59-10 occupational regulatory agency in the field of toll road
59-11 construction, maintenance, or operation;
59-12 (2) is employed by or participates in the management
59-13 of a business entity or other organization regulated by the
59-14 commission, department, or authority or receiving funds from the
59-15 commission, department, or authority;
59-16 (3) owns or controls, directly or indirectly, more
59-17 than a 10 percent interest in a business entity or other
59-18 organization regulated by or receiving funds from the commission,
59-19 department, or authority, other than compensation for acquisition
59-20 of turnpike right-of-way; or
59-21 (4) uses or receives a substantial amount of tangible
59-22 goods, services, or funds from the commission, department, or
59-23 authority, other than compensation or reimbursement authorized by
59-24 law for board membership, attendance, or expenses or compensation
59-25 for acquisition of turnpike right-of-way.
59-26 SECTION 7.07. Subchapter B, Chapter 361, Transportation
59-27 Code, is amended by adding Section 361.0335 to read as follows:
60-1 Sec. 361.0335. TRAINING FOR BOARD MEMBERS. (a) To be
60-2 eligible to take office as a member of the board, a person
60-3 appointed to the board must complete at least one course of a
60-4 training program that complies with this section.
60-5 (b) A training program must provide information to the
60-6 person regarding:
60-7 (1) this chapter;
60-8 (2) the programs operated by the board;
60-9 (3) the role and functions of the board;
60-10 (4) the rules of the board;
60-11 (5) the current budget for the board;
60-12 (6) the results of the most recent formal audit of the
60-13 board;
60-14 (7) the requirements of the:
60-15 (A) open meetings law, Chapter 551, Government
60-16 Code;
60-17 (B) open records law, Chapter 552, Government
60-18 Code; and
60-19 (C) administrative procedure law, Chapter 2001,
60-20 Government Code;
60-21 (8) the requirements of the conflict of interest laws
60-22 and other laws relating to public officials; and
60-23 (9) any applicable ethics policies adopted by the
60-24 board or the Texas Ethics Commission.
60-25 (c) A person appointed to the board is entitled to
60-26 reimbursement for travel expenses incurred in attending the
60-27 training program, as provided by the General Appropriations Act and
61-1 as if the person were a member of the board.
61-2 SECTION 7.08. Section 361.042, Transportation Code, is
61-3 amended to read as follows:
61-4 Sec. 361.042. GENERAL POWERS AND DUTIES. (a) The board
61-5 [authority] shall:
61-6 (1) on its own initiative or at the request of the
61-7 commission, consider, study, plan, and develop turnpike projects
61-8 under this chapter;
61-9 (2) adopt rules [bylaws] for the regulation of its
61-10 affairs and the conduct of its business;
61-11 (3) with the concurrence of the commission, employ an
61-12 administrative head, who serves at the pleasure of the board; and
61-13 (4) undertake such other duties as are delegated to it
61-14 by the commission.
61-15 (b) The authority may:
61-16 (1) [(2) adopt an official seal;]
61-17 [(3)] construct, maintain, repair, and operate
61-18 turnpike projects in this state;
61-19 (2) [(4)] acquire, hold, and dispose of property in
61-20 the exercise of its powers and the performance of its duties under
61-21 this chapter;
61-22 (3) with the approval of the governor and the
61-23 commission, [(5)] enter into contracts or operating agreements with
61-24 similar authorities or agencies of another state, including a state
61-25 of the United Mexican States;
61-26 (4) [(6)] enter into contracts or agreements necessary
61-27 or incidental to its duties and powers under this chapter;
62-1 (5) [(7)] employ consulting engineers, [attorneys,]
62-2 accountants, construction and financial experts, superintendents,
62-3 managers, and other employees and agents the authority considers
62-4 necessary and set their compensation;
62-5 (6) employ attorneys to advance or defend legal
62-6 actions pertaining to the division's activities, notwithstanding
62-7 any other law to the contrary, including Section 402.0212,
62-8 Government Code;
62-9 (7) [(8)] receive grants for the construction of a
62-10 turnpike project and receive contributions of money, property,
62-11 labor, or other things of value from any source to be used for the
62-12 purposes for which the grants or contributions are made;
62-13 (8) [(9)] adopt and enforce rules, if the commission
62-14 concurs, not inconsistent with this chapter for the use of any
62-15 turnpike project; and
62-16 (9) [(10)] do all things necessary or appropriate to
62-17 carry out the powers expressly granted by this chapter.
62-18 SECTION 7.09. Section 361.055, Transportation Code, is
62-19 amended to read as follows:
62-20 Sec. 361.055. SUCCESSOR AGENCY TO AUTHORITY. The following
62-21 are considered successor agencies to the Texas Turnpike Authority
62-22 [authority] for purposes of Section 52-b, Article III, Texas
62-23 Constitution:
62-24 (1) a county, municipality, or local government
62-25 corporation that leases, buys, operates, or otherwise receives a
62-26 turnpike project under Subchapter H;
62-27 (2) a county with a population of more than 1.5
63-1 million that constructs a toll road, toll bridge, or turnpike
63-2 project;
63-3 (3) a local government corporation serving a county
63-4 with a population of more than 1.5 million that constructs a toll
63-5 road, toll bridge, or turnpike project; [and]
63-6 (4) an adjacent county in a joint turnpike authority
63-7 with a county with a population of more than 1.5 million that
63-8 constructs a toll road, toll bridge, or turnpike project;
63-9 (5) the department;
63-10 (6) a public entity authorized to receive funds from
63-11 the department for the construction, maintenance, or operation of
63-12 toll projects; and
63-13 (7) a private entity authorized to receive funds from
63-14 the department for the construction, maintenance, or operation of
63-15 toll projects if the department determines that the use of the
63-16 private entity fills a demonstrated public need.
63-17 SECTION 7.10. Section 361.132, Transportation Code, is
63-18 amended to read as follows:
63-19 Sec. 361.132. ACQUISITION OF PROPERTY. (a) The board
63-20 [authority] may acquire, in the name of the state, [authority]
63-21 public or private real property it determines necessary or
63-22 convenient for the construction, expansion, enlargement, extension,
63-23 improvement, or operation of a turnpike project or for otherwise
63-24 carrying out this chapter.
63-25 (b) The real property the authority may acquire under this
63-26 subchapter includes:
63-27 (1) public parks, playgrounds, or reservations;
64-1 (2) parts of or rights in public parks, playgrounds,
64-2 or reservations;
64-3 (3) rights-of-way;
64-4 (4) property rights, including:
64-5 (A) a right of ingress or egress; and
64-6 (B) a reservation right in real property that
64-7 restricts or prohibits for not more than seven years the:
64-8 (i) addition of a new improvement on the
64-9 real property;
64-10 (ii) addition to or modification of an
64-11 existing improvement on the real property; or
64-12 (iii) subdivision of the real property;
64-13 (5) franchises;
64-14 (6) easements; and
64-15 (7) other interests in real property.
64-16 (c) The board [authority] may acquire the real property by
64-17 any method, including purchase and condemnation. The board
64-18 [authority] may purchase public or private real property on the
64-19 terms and at the price the board [authority] and the owner consider
64-20 reasonable.
64-21 (d) Property necessary or convenient for the construction or
64-22 operation of a turnpike project under Subsection (a) includes an
64-23 interest in real property, a property right, or materials that the
64-24 authority determines are necessary or convenient to:
64-25 (1) protect a turnpike project;
64-26 (2) drain a turnpike project;
64-27 (3) divert a stream, river, or other watercourse from
65-1 the right-of-way of a turnpike project;
65-2 (4) store materials or equipment used in the
65-3 construction or maintenance of a turnpike project;
65-4 (5) construct or operate a warehouse or other facility
65-5 used in connection with the construction, maintenance, or operation
65-6 of a turnpike project;
65-7 (6) lay out, construct, or maintain a roadside park;
65-8 (7) lay out, construct, or maintain a parking lot that
65-9 will contribute to the maximum use of a turnpike project with the
65-10 least possible congestion;
65-11 (8) mitigate an adverse environmental effect that
65-12 directly results from the construction or maintenance of a turnpike
65-13 project; or
65-14 (9) accomplish any other purpose related to the
65-15 location, construction, improvement, maintenance, beautification,
65-16 preservation, or operation of a turnpike project.
65-17 (e) The authority shall comply with all relocation
65-18 assistance procedures applicable to the department in connection
65-19 with any displacement of owners or tenants as a consequence of the
65-20 authority's acquisition of real property under this chapter.
65-21 (f) The authority may acquire timber, earth, stone, gravel,
65-22 or other materials as necessary to carry out a purpose under this
65-23 chapter.
65-24 SECTION 7.11. Section 361.135, Transportation Code, is
65-25 amended to read as follows:
65-26 Sec. 361.135. CONDEMNATION OF REAL PROPERTY. (a) The
65-27 board, with the concurrence of the commission, [authority] may
66-1 acquire public or private real property in the name of the state
66-2 [authority] by the exercise of the power of condemnation under the
66-3 laws applicable to the exercise of that power on property for
66-4 public use if:
66-5 (1) the authority and the owner cannot agree on a
66-6 reasonable price for the property; or
66-7 (2) the owner is legally incapacitated, absent,
66-8 unknown, or unable to convey title.
66-9 (b) The board, with the concurrence of the commission, [To
66-10 the extent provided by Subsection (c), the authority] may condemn
66-11 real property that the authority determines is:
66-12 (1) necessary or appropriate to construct or to
66-13 efficiently operate a turnpike project;
66-14 (2) necessary to restore public or private property
66-15 damaged or destroyed; [or]
66-16 (3) necessary for access, approach, and interchange
66-17 roads; or
66-18 (4) necessary otherwise to carry out this chapter.
66-19 (c) [The authority may condemn real property necessary for
66-20 access, approach, and interchange roads but may not condemn
66-21 property:]
66-22 [(1) that is unnecessary for road and right-of-way
66-23 purposes; or]
66-24 [(2) that is for a supplemental facility for another
66-25 purpose.]
66-26 [(d)] The authority may construct a supplemental facility
66-27 only on real property the authority purchases.
67-1 (d) [(e)] The court having jurisdiction of a condemnation
67-2 proceeding may:
67-3 (1) make orders as are just to the authority and the
67-4 owners of the real property; and
67-5 (2) require an undertaking or other security to secure
67-6 the owners against any loss or damage by reason of the board's
67-7 [authority's] failure to accept and pay for the real property.
67-8 (e) [(f)] An undertaking or security under Subsection (d)(2)
67-9 [(e)(2)] or an act or obligation of the authority or the board does
67-10 not impose any liability on the state, [or] the authority, or the
67-11 board except liability that may be paid from the money authorized
67-12 by this chapter.
67-13 SECTION 7.12. Section 361.136, Transportation Code, is
67-14 amended to read as follows:
67-15 Sec. 361.136. SEVERANCE OF REAL PROPERTY. (a) If a
67-16 turnpike project severs an owner's real property, the authority
67-17 shall pay:
67-18 (1) the value of the property acquired; and
67-19 (2) the damages to the remainder of the owner's
67-20 property caused by the severance, including damages caused by the
67-21 inaccessibility of one tract from the other.
67-22 (b) [The authority shall provide and maintain without charge
67-23 a passageway over or under the turnpike project for the owner of
67-24 the severed real property and the owner's employees and
67-25 representatives. The authority is not required to furnish a
67-26 passageway if the owner waives the requirement or the original
67-27 tract involved is less than 80 acres.]
68-1 [(c)] The authority may negotiate for and purchase the
68-2 severed real property or either part of the severed real property
68-3 if the authority and the owner agree on terms for the purchase.
68-4 [The authority shall sell and dispose of severed real property
68-5 within two years after the date of acquisition.]
68-6 SECTION 7.13. Subsection (b), Section 361.137,
68-7 Transportation Code, is amended to read as follows:
68-8 (b) The authority may not file the declaration of taking:
68-9 (1) before the 91st day after the date the
68-10 condemnation petition has been filed; or
68-11 (2) [concurrently with or subsequent to the petition
68-12 but may not file the declaration] after the special commissioners
68-13 have made an award in the condemnation proceeding.
68-14 SECTION 7.14. Subchapter D, Chapter 361, Transportation
68-15 Code, is amended by adding Section 361.142 to read as follows:
68-16 Sec. 361.142. COVENANTS, CONDITIONS, RESTRICTIONS, OR
68-17 LIMITATIONS. Covenants, conditions, restrictions, or limitations
68-18 affecting property acquired in any manner by the authority are not
68-19 binding against the authority and do not impair the authority's
68-20 ability to use the property for a purpose authorized by this
68-21 chapter. The beneficiaries of the covenants, conditions,
68-22 restrictions, or limitations are not entitled to enjoin the
68-23 authority from using the property for a purpose authorized under
68-24 this chapter, but this section does not affect the right of a
68-25 person to seek damages to the person's property under Section 17,
68-26 Article I, Texas Constitution.
68-27 SECTION 7.15. Section 361.180, Transportation Code, is
69-1 amended to read as follows:
69-2 Sec. 361.180. TOLLS ON CONVERTED HIGHWAYS [PROHIBITION ON
69-3 TOLLS ON EXISTING FREE HIGHWAYS]. If converted to a toll facility
69-4 under Section 222.102 or 362.0041, the commission [The authority]
69-5 may impose a toll for transit over an existing free public highway
69-6 [only if such highway is transferred to the authority by the
69-7 commission under Section 362.0041].
69-8 SECTION 7.16. Subsection (b), Section 361.184,
69-9 Transportation Code, is amended to read as follows:
69-10 (b) The board [authority] may transfer, or direct the
69-11 authority to transfer, into the project revolving fund money from
69-12 any permissible source, including:
69-13 (1) money from a surplus fund established for a
69-14 turnpike project if the remainder of the surplus fund is not less
69-15 than any minimum amount required by the trust agreement to be
69-16 retained for that project;
69-17 (2) money received under Subchapter I or from a
69-18 transfer of a turnpike project under Subchapter H;
69-19 (3) advances from the state highway fund if the
69-20 advances are repaid as required by [department authorized under]
69-21 Section 52-b, Article III, Texas Constitution; and
69-22 (4) contributions or assistance from the United
69-23 States, another state, a political subdivision of this state, the
69-24 United Mexican States, or a political subdivision of the United
69-25 Mexican States.
69-26 SECTION 7.17. Section 361.189, Transportation Code, is
69-27 amended to read as follows:
70-1 Sec. 361.189. USE OF SURPLUS REVENUE. [(a)] The commission
70-2 [board] by resolution may authorize the use of surplus revenue of a
70-3 turnpike project to pay the costs of another turnpike project,
70-4 other than a project financed under Subchapter I, or a toll-free
70-5 project. The commission [board] may in the resolution prescribe
70-6 terms for the use of the revenue, including the pledge of the
70-7 revenue, but may not take an action under this section that[:]
70-8 [(1) violates Subsection (b); or]
70-9 [(2)] violates, impairs, or is inconsistent with a
70-10 bond resolution, trust agreement, or indenture governing the use of
70-11 the surplus revenue.
70-12 [(b) Except as provided by Subsection (c), the surplus
70-13 revenue of a turnpike project that was under construction or
70-14 operated by the authority on January 1, 1993, may be used only for:]
70-15 [(1) the costs associated with the construction,
70-16 expansion, or maintenance of the project producing the revenue; and]
70-17 [(2) transfers to the Texas Turnpike Authority
70-18 feasibility study fund.]
70-19 [(c) The board may use revenue from a turnpike project
70-20 described by Subsection (b) for a purpose authorized by this
70-21 chapter other than a purpose described by that subsection if:]
70-22 [(1) the authority obtains the permission of the
70-23 commissioners court of each county in which the project is located;
70-24 or]
70-25 [(2) an agreement between the authority and a county
70-26 or local government corporation created by the county for the
70-27 lease, sale, or other conveyance of the project permits the revenue
71-1 to be used for another purpose.]
71-2 SECTION 7.18. Section 361.232, Transportation Code, is
71-3 amended by adding Subsection (e) to read as follows:
71-4 (e) This section does not apply to the conversion of any
71-5 highway that is a part of the state highway system to a turnpike
71-6 project.
71-7 SECTION 7.19. Section 361.237, Transportation Code, is
71-8 amended to read as follows:
71-9 Sec. 361.237. OPERATION OF TURNPIKE PROJECT. A turnpike
71-10 project is a public road subject to all laws applicable to the
71-11 regulation and control of traffic. [(a) The authority shall police
71-12 and operate a turnpike project through a force of police,
71-13 toll-takers, and other employees of the authority.]
71-14 [(b) The authority may arrange with the Department of Public
71-15 Safety for the services of officers of that agency.]
71-16 SECTION 7.20. Section 361.238, Transportation Code, is
71-17 amended to read as follows:
71-18 Sec. 361.238. PAYMENT OF BOND INDEBTEDNESS; CESSATION OR
71-19 CONTINUATION OF TOLLS[; TRANSFER OF PROJECT TO COMMISSION].
71-20 (a) Except as provided by Subsection (b), a [A] turnpike project
71-21 [that is in good condition and repair to the satisfaction of the
71-22 commission] becomes a toll-free [part of the state] highway
71-23 [system] when:
71-24 (1) the bonds issued under this chapter for the
71-25 project and the interest on the bonds are paid; or
71-26 (2) firm banking and financial arrangements have been
71-27 made for the discharge and final payment or redemption of the bonds
72-1 in accordance with Section 7A, Chapter 503, Acts of the 54th
72-2 Legislature, 1955 (Article 717k, Vernon's Texas Civil Statutes) [a
72-3 sufficient amount to pay the bonds and the interest on the bonds to
72-4 maturity or to redeem the bonds has been set aside in trust for the
72-5 benefit of the bondholders].
72-6 (b) If the conditions of Subsections (a)(1) and (2) are met,
72-7 the commission may continue to charge a toll sufficient to pay the
72-8 costs of maintaining the facility. [The authority shall continue
72-9 to operate as a toll facility a turnpike project that the
72-10 commission determines is not in a state of repair so as to justify
72-11 its acceptance as part of the state highway system. The authority
72-12 shall continue the tolls then in effect or revise the tolls to
72-13 provide money sufficient to assure payment of the expenses of
72-14 maintenance and operation and the making of repairs and
72-15 replacements as necessary to meet the minimum requirements of the
72-16 commission within the shortest practicable time.]
72-17 [(c) The commission shall maintain a turnpike project it
72-18 accepts free of tolls. The authority shall deliver to the
72-19 commission at the time of acceptance any money remaining to the
72-20 credit of the project after retirement of the bonds issued for the
72-21 project. The commission shall deposit the money in a fund to be
72-22 used to maintain the project facilities. The commission shall
72-23 administer the fund in accordance with commission rules.]
72-24 [(d) Not later than the first anniversary of the date the
72-25 commission accepts a turnpike project, the department shall
72-26 advertise for public sale each installation on the project other
72-27 than the road bed and highway sections and shall solicit sealed
73-1 bids for those installations. The department may reject any or all
73-2 bids but shall dispose of the properties not later than the second
73-3 anniversary of the date the commission accepts title to the
73-4 project.]
73-5 SECTION 7.21. The heading of Subchapter H, Chapter 361,
73-6 Transportation Code, is amended to read as follows:
73-7 SUBCHAPTER H. TRANSFER OF TURNPIKE PROJECT TO
73-8 COUNTY, MUNICIPALITY, REGIONAL TOLLWAY AUTHORITY, OR
73-9 LOCAL GOVERNMENT CORPORATION
73-10 SECTION 7.22. Sections 361.281, 361.282, and 361.285,
73-11 Transportation Code, are amended to read as follows:
73-12 Sec. 361.281. APPLICABILITY OF SUBCHAPTER. This subchapter
73-13 applies only to:
73-14 (1) a county with a population of more than 1.5
73-15 million;
73-16 (2) a local government corporation serving a county
73-17 with a population of more than 1.5 million; [or]
73-18 (3) an adjacent county in a joint turnpike authority
73-19 with a county with a population of more than 1.5 million;
73-20 (4) a municipality with a population of more than
73-21 120,000 that is adjacent to the United Mexican States; or
73-22 (5) a regional tollway authority created under Chapter
73-23 366.
73-24 Sec. 361.282. LEASE, SALE, OR CONVEYANCE OF TURNPIKE
73-25 PROJECT. (a) The authority may lease, sell, or convey in another
73-26 manner a turnpike project to a county, municipality, regional
73-27 tollway authority, or a local government corporation created under
74-1 Chapter 431.
74-2 (b) The authority, the commission, and the governor must
74-3 approve the transfer of the turnpike project as being in the best
74-4 interests of the state and the entity receiving the turnpike
74-5 project [county].
74-6 Sec. 361.285. APPROVAL OF AGREEMENT BY ATTORNEY GENERAL.
74-7 (a) An agreement for the lease, sale, or conveyance of a turnpike
74-8 project under this subchapter shall be submitted to the attorney
74-9 general for approval as part of the records of proceedings relating
74-10 to the issuance of bonds of the county, municipality, regional
74-11 tollway authority, or local government corporation.
74-12 (b) If the attorney general determines that the agreement is
74-13 in accordance with law, the attorney general shall approve the
74-14 agreement and deliver to the commission a copy of the legal opinion
74-15 of the attorney general stating that approval.
74-16 SECTION 7.23. Subsection (a), Section 361.331,
74-17 Transportation Code, is amended to read as follows:
74-18 (a) The authority may designate two or more turnpike
74-19 projects that are wholly or partly located in a metropolitan
74-20 planning organization [planning region of a council of governments]
74-21 as a pooled turnpike project after:
74-22 (1) conducting a public hearing; and
74-23 (2) obtaining the approval of the commission[; and]
74-24 [(3) obtaining a resolution adopted by the
74-25 commissioners court of the county that:]
74-26 [(A) approves the action; and]
74-27 [(B) specifies the date the pooled project
75-1 becomes toll free].
75-2 SECTION 7.24. Section 362.0041, Transportation Code, is
75-3 amended to read as follows:
75-4 Sec. 362.0041. CONVERSION [ACQUISITION] OF PROJECTS.
75-5 (a) If the commission finds that the conversion of a segment of
75-6 the free state highway system to a toll facility is the most
75-7 feasible and economic means to accomplish necessary expansion
75-8 improvements, or extensions to the state highway system, that
75-9 segment may[, on approval of the governor,] be converted
75-10 [transferred] by order of the commission to [the authority. The
75-11 authority may receive such segment of highway, thereafter to be
75-12 owned, operated, and maintained as] a turnpike project under
75-13 Chapter 361.
75-14 (b) [The authority shall reimburse the commission for the
75-15 cost of the transferred highway, unless the commission finds that
75-16 the transfer will result in substantial net benefits to the state,
75-17 the department, and the traveling public that exceed that cost.
75-18 The cost shall include the total dollar amount expended by the
75-19 department for the original construction of the highway, including
75-20 all costs associated with the preliminary engineering and design
75-21 engineering for plans, specifications, and estimates, the
75-22 acquisition of necessary right-of-way, and actual construction of
75-23 the highway and all necessary appurtenant facilities.]
75-24 [(c) The commission shall, coincident with the transfer,
75-25 remove the segment of highway from the designated state highway
75-26 system and shall subsequently have no liability, responsibility, or
75-27 duty for the maintenance or operation of the highway.]
76-1 [(d)] Prior to converting [transferring] a segment of the
76-2 state highway system under this section, the commission shall
76-3 conduct a public hearing for the purpose of receiving comments from
76-4 interested persons concerning the proposed transfer. Notice of the
76-5 hearing shall be published in the Texas Register, one or more
76-6 newspapers of general circulation, and a newspaper, if any,
76-7 published in the county or counties in which the involved highway
76-8 is located.
76-9 (c) [(e)] The commission shall adopt rules implementing this
76-10 section, such rules to include criteria and guidelines for the
76-11 approval of a conversion [transfer] of a highway.
76-12 SECTION 7.25. Subtitle G, Title 6, Transportation Code, is
76-13 amended by adding Chapter 366 to read as follows:
76-14 CHAPTER 366. REGIONAL TOLLWAY AUTHORITIES
76-15 SUBCHAPTER A. GENERAL PROVISIONS
76-16 Sec. 366.001. SHORT TITLE. This chapter may be cited as the
76-17 Regional Tollway Authority Act.
76-18 Sec. 366.002. PURPOSES; LIBERAL CONSTRUCTION. (a) The
76-19 purposes of this chapter are:
76-20 (1) the expansion and improvement of transportation
76-21 facilities and systems in this state;
76-22 (2) the creation of regional tollway authorities to
76-23 secure and acquire rights-of-way for urgently needed transportation
76-24 systems and to plan, design, construct, operate, expand, extend,
76-25 and modify those systems; and
76-26 (3) the reduction of burdens and demands on the
76-27 limited money available to the commission and an increase in the
77-1 effectiveness and efficiency of the commission.
77-2 (b) This chapter shall be liberally construed to effect its
77-3 purposes.
77-4 Sec. 366.003. DEFINITIONS. In this chapter:
77-5 (1) "Authority" means a regional tollway authority
77-6 organized under this chapter.
77-7 (2) "Board" means the board of directors of an
77-8 authority organized under this chapter.
77-9 (3) "Bond" means all bonds, certificates, notes, and
77-10 other obligations of an authority authorized by this chapter, any
77-11 other statute, or the Texas Constitution.
77-12 (4) "Bond proceedings" means a bond resolution and any
77-13 bond indenture authorized by the bond resolution, any credit
77-14 agreement entered into in connection with the bonds or the payments
77-15 to be made under the agreement, and any other agreement between an
77-16 authority and another person providing security for the payment of
77-17 bonds.
77-18 (5) "Bond resolution" means an order or resolution of
77-19 an authority's board authorizing the issuance of bonds.
77-20 (6) "Bondholder" means the owner of bonds and includes
77-21 a trustee acting on behalf of an owner of bonds under the terms of
77-22 a bond indenture.
77-23 (7) "Highway" means a road, highway, farm-to-market
77-24 road, or street under the supervision of the state or a political
77-25 subdivision of the state.
77-26 (8) "Local governmental entity" means a political
77-27 subdivision of the state, including a municipality or a county, a
78-1 political subdivision of a county, a group of adjoining counties, a
78-2 district organized or operating under Section 52, Article III, or
78-3 Section 59, Article XVI, Texas Constitution, or a nonprofit
78-4 corporation, including a transportation corporation created under
78-5 Chapter 431.
78-6 (9) "Revenue" means the tolls, rents, and other money
78-7 received by an authority from the ownership or operation of a
78-8 turnpike project.
78-9 (10) "System" means a turnpike project or any
78-10 combination of turnpike projects designated as a system by the
78-11 board under Section 366.034.
78-12 (11) "Turnpike project" means a highway of any number
78-13 of lanes, with or without grade separations, owned or operated by
78-14 an authority under this chapter and any improvement, extension, or
78-15 expansion to that highway, including:
78-16 (A) an improvement to relieve traffic congestion
78-17 and promote safety;
78-18 (B) a bridge, tunnel, overpass, underpass,
78-19 interchange, service road, ramp, entrance plaza, approach, or
78-20 tollhouse;
78-21 (C) an administration, storage, or other
78-22 building the authority considers necessary to operate the turnpike
78-23 project;
78-24 (D) a service station, hotel, motel, restaurant,
78-25 parking area or structure, rest stop, park, and other improvement
78-26 or amenity the authority considers necessary, useful, or beneficial
78-27 for the operation of a turnpike project; and
79-1 (E) property rights, easements, and interests
79-2 the authority acquires to construct or operate the turnpike
79-3 project.
79-4 Sec. 366.004. CONSTRUCTION COSTS DEFINED. (a) The cost of
79-5 acquisition, construction, improvement, extension, or expansion of
79-6 a turnpike project or system under this chapter includes the cost
79-7 of:
79-8 (1) the actual acquisition, construction, improvement,
79-9 extension, or expansion of the turnpike project or system;
79-10 (2) the acquisition of real property, rights-of-way,
79-11 property rights, easements, and other interests in real property;
79-12 (3) machinery and equipment;
79-13 (4) interest payable before, during, and after
79-14 acquisition, construction, improvement, extension, or expansion as
79-15 provided in the bond proceedings;
79-16 (5) traffic estimates, revenue estimates, engineering
79-17 and legal services, plans, specifications, surveys, appraisals,
79-18 construction cost estimates, and other expenses necessary or
79-19 incidental to determining the feasibility of the construction,
79-20 improvement, extension, or expansion;
79-21 (6) necessary or incidental administrative, legal, and
79-22 other expenses;
79-23 (7) compliance with laws, regulations, and
79-24 administrative rulings;
79-25 (8) financing; and
79-26 (9) expenses related to the initial operation of the
79-27 turnpike project or system.
80-1 (b) Costs attributable to a turnpike project or system and
80-2 incurred before the issuance of bonds to finance the turnpike
80-3 project or system may be reimbursed from the proceeds of sale of
80-4 the bonds.
80-5 (Sections 366.005-366.030 reserved for expansion
80-6 SUBCHAPTER B. CREATION AND POWERS OF REGIONAL
80-7 TOLLWAY AUTHORITIES
80-8 Sec. 366.031. CREATION AND EXPANSION OF A REGIONAL TOLLWAY
80-9 AUTHORITY. (a) Two or more counties, acting through their
80-10 respective commissioners courts, may by order passed by each
80-11 commissioners court create a regional tollway authority under this
80-12 chapter if:
80-13 (1) one of the counties has a population of not less
80-14 than 300,000;
80-15 (2) the counties form a contiguous territory; and
80-16 (3) unless one of the counties has a population of 1.5
80-17 million or more, the commission approves the creation.
80-18 (b) The commission shall adopt rules to implement the
80-19 provisions of this section by March 1, 1998.
80-20 (c) A commissioners court may by resolution petition an
80-21 established authority for inclusion in the authority if the county
80-22 is contiguous to a county that initially created the authority.
80-23 (d) On approval of the board of an authority receiving a
80-24 petition under Subsection (c), the county becomes part of the
80-25 authority.
80-26 Sec. 366.032. NATURE OF REGIONAL TOLLWAY AUTHORITY. (a) An
80-27 authority created under this chapter is a body politic and
81-1 corporate and a political subdivision of this state.
81-2 (b) An authority is a governmental unit as that term is
81-3 defined in Chapter 101, Civil Practice and Remedies Code.
81-4 (c) The exercise by an authority of the powers conferred by
81-5 this chapter in the acquisition, design, financing, construction,
81-6 operation, and maintenance of a turnpike project or system is:
81-7 (1) in all respects for the benefit of the people of
81-8 the counties in which an authority operates and of the people of
81-9 this state, for the increase of their commerce and prosperity, and
81-10 for the improvement of their health, living conditions, and public
81-11 safety; and
81-12 (2) an essential governmental function of the state.
81-13 (d) The operations of an authority are governmental, not
81-14 proprietary, functions.
81-15 (e) An authority created before January 1, 2000, is subject
81-16 to review under Chapter 325, Government Code (Texas Sunset Act),
81-17 but is not abolished under that chapter. The authority shall be
81-18 reviewed during the period:
81-19 (1) in which state agencies abolished in 2003 are
81-20 reviewed; and
81-21 (2) in which the department is reviewed.
81-22 (f) An authority created on or after January 1, 2000, is
81-23 subject to review under Chapter 325, Government Code (Texas Sunset
81-24 Act), but is not abolished under that chapter. The authority shall
81-25 be reviewed during the period in which the department is reviewed.
81-26 Sec. 366.033. GENERAL POWERS. (a) An authority, acting
81-27 through its board, without state approval, supervision, or
82-1 regulation, may:
82-2 (1) adopt rules for the regulation of its affairs and
82-3 the conduct of its business;
82-4 (2) adopt an official seal;
82-5 (3) study, evaluate, design, acquire, construct,
82-6 maintain, repair, and operate turnpike projects, individually or as
82-7 one or more systems;
82-8 (4) acquire, hold, and dispose of property in the
82-9 exercise of its powers and the performance of its duties under this
82-10 chapter;
82-11 (5) enter into contracts or operating agreements with
82-12 similar authorities or agencies of the United States, a state of
82-13 the United States, the United Mexican States, or a state of the
82-14 United Mexican States;
82-15 (6) enter into contracts or agreements necessary or
82-16 incidental to its duties and powers under this chapter;
82-17 (7) cooperate and work directly with property owners
82-18 and governmental agencies and officials to support an activity
82-19 required to promote or develop a turnpike project or system;
82-20 (8) employ and set the compensation of administrators,
82-21 consulting engineers, attorneys, accountants, construction and
82-22 financial experts, superintendents, managers, full-time and
82-23 part-time employees, agents, consultants, and such other persons as
82-24 the authority considers necessary or useful;
82-25 (9) receive loans, gifts, grants, and other
82-26 contributions for the construction of a turnpike project or system
82-27 and receive contributions of money, property, labor, or other
83-1 things of value from any source, including the United States, a
83-2 state of the United States, the United Mexican States, a state of
83-3 the United Mexican States, the commission, the department, any
83-4 subdivision of the state, or any other local governmental or
83-5 private entity, to be used for the purposes for which the grants or
83-6 contributions are made, and enter into any agreement necessary for
83-7 the grants or contributions;
83-8 (10) install, construct, maintain, repair, renew,
83-9 relocate, and remove public utility facilities in, on, along, over,
83-10 or under a turnpike project;
83-11 (11) organize a corporation under Chapter 431 for the
83-12 promotion and development of turnpike projects and systems;
83-13 (12) adopt and enforce rules not inconsistent with
83-14 this chapter for the use of any turnpike project or system,
83-15 including traffic and other public safety rules;
83-16 (13) enter into leases, operating agreements, service
83-17 agreements, licenses, franchises, and similar agreements with
83-18 public or private parties governing the parties' use of all or any
83-19 portion of a turnpike project and the rights and obligations of the
83-20 authority with respect to a turnpike project; and
83-21 (14) do all things necessary or appropriate to carry
83-22 out the powers expressly granted by this chapter.
83-23 (b) Rules adopted by the authority must comply with the
83-24 procedures in Subchapter B, Chapter 2001, Government Code, and are
83-25 subject to Section 2001.038, Government Code, except that the
83-26 action may be brought only in a district court of a county located
83-27 in the authority.
84-1 (c) Property comprising a part of a turnpike project or a
84-2 system is not subject to condemnation or the power of eminent
84-3 domain by any person, including a governmental entity.
84-4 (d) An authority may, if requested by the commission,
84-5 perform any function not specified by this chapter to promote or
84-6 develop turnpike projects and systems in this state.
84-7 (e) An authority may sue and be sued and plead and be
84-8 impleaded in its own name.
84-9 (f) An authority may rent, lease, franchise, license, or
84-10 otherwise make portions of its properties available for use by
84-11 others in furtherance of its powers under this chapter by
84-12 increasing the feasibility or the revenue of a turnpike project or
84-13 system.
84-14 (g) An authority and any local governmental entity may enter
84-15 into a contract under which the authority will operate a turnpike
84-16 project or system on behalf of the local governmental entity. An
84-17 authority may enter into a contract with the department under which
84-18 the authority will operate a turnpike project or system on behalf
84-19 of the department.
84-20 (h) The payments to be made to an authority under a contract
84-21 described by Subsection (g) shall constitute operating expenses of
84-22 the facility or system that is to be operated under the contract,
84-23 and the contract may extend for a number of years as the parties
84-24 agree.
84-25 (i) An authority shall adopt a written drug and alcohol
84-26 policy restricting the use of controlled substances by employees of
84-27 the authority, prohibiting the consumption of alcoholic beverages
85-1 by employees while on duty, and prohibiting employees from working
85-2 for the authority while under the influence of controlled
85-3 substances or alcohol. An authority may adopt policies regarding
85-4 the testing of employees suspected of being in violation of the
85-5 authority's drug and alcohol policy. The policy shall provide
85-6 that, unless required by court order or permitted by the person who
85-7 is the subject of the testing, the authority shall keep the results
85-8 of the test confidential.
85-9 (j) An authority shall adopt written procedures governing
85-10 its procurement of goods and services that are consistent with
85-11 general laws applicable to the authority.
85-12 Sec. 366.034. ESTABLISHMENT OF TURNPIKE SYSTEMS. (a) If an
85-13 authority determines that the traffic needs of the counties in
85-14 which it operates and the traffic needs of the surrounding region
85-15 could be most efficiently and economically met by jointly operating
85-16 two or more turnpike projects as one operational and financial
85-17 enterprise, it may create a system comprised of those turnpike
85-18 projects. An authority may create more than one system and may
85-19 combine two or more systems into one system. An authority may
85-20 finance, acquire, construct, and operate additional turnpike
85-21 projects as additions to and expansions of a system if the
85-22 authority determines that the turnpike project could most
85-23 efficiently and economically be acquired and constructed if it were
85-24 a part of the system and that the addition will benefit the system.
85-25 (b) The revenue of a system shall be accounted for
85-26 separately and may not be commingled with the revenue of a turnpike
85-27 project that is not a part of the system or with the revenue of
86-1 another system.
86-2 Sec. 366.035. CONVERSION OF STATE HIGHWAY SYSTEM PROJECTS.
86-3 (a) If the commission determines that the most feasible and
86-4 economic means to accomplish necessary expansion, improvements, or
86-5 extensions to the state highway system is the conversion to a
86-6 turnpike project of a segment of the free state highway system, any
86-7 segment located in a county of an authority or a county in which an
86-8 authority operates a turnpike project or in any county adjacent to
86-9 those counties may, on approval of the governor and the affected
86-10 authority, be transferred by order of the commission to that
86-11 authority. An authority that receives the segment of highway may
86-12 own, operate, and maintain the segment as a turnpike project or
86-13 system or a part of a turnpike project or system under this
86-14 chapter.
86-15 (b) An authority shall reimburse the commission for the cost
86-16 of a transferred highway, unless the commission determines that the
86-17 transfer will result in substantial net benefits to the state, the
86-18 department, and the traveling public that exceed that cost. The
86-19 cost includes the total amount expended by the department for the
86-20 original construction of the highway, including all costs
86-21 associated with the preliminary engineering and design engineering
86-22 for plans, specifications, and estimates, the acquisition of
86-23 necessary rights-of-way, and actual construction of the highway and
86-24 all necessary appurtenant facilities. Costs anticipated to be
86-25 expended to expand, improve, or extend the highway shall be
86-26 deducted from the costs to be reimbursed to the commission.
86-27 (c) The commission shall, at the time of a transfer, remove
87-1 the segment of highway from the state highway system. After a
87-2 transfer the commission has no liability, responsibility, or duty
87-3 for the maintenance or operation of the highway.
87-4 (d) Before transferring a segment of the state highway
87-5 system under this section, the commission shall conduct a public
87-6 hearing to receive comments from interested persons concerning the
87-7 proposed transfer. Notice of the hearing must be published in the
87-8 Texas Register, one or more newspapers of general circulation in
87-9 the counties in which the segment is located, and a newspaper, if
87-10 any, published in the counties of the applicable authority.
87-11 (e) The commission shall adopt rules implementing this
87-12 section. The rules shall include criteria and guidelines for the
87-13 approval of a transfer of a highway.
87-14 (f) An authority shall adopt rules providing criteria and
87-15 guidelines for approving the acceptance of a highway under this
87-16 section.
87-17 (Sections 366.036-366.070 reserved for expansion
87-18 SUBCHAPTER C. FEASIBILITY OF REGIONAL TURNPIKE PROJECTS
87-19 Sec. 366.071. EXPENDITURES FOR FEASIBILITY STUDIES. (a) An
87-20 authority may pay the expenses of studying the cost and feasibility
87-21 and any other expenses relating to the preparation and issuance of
87-22 bonds for a proposed turnpike project or system by:
87-23 (1) using legally available revenue derived from an
87-24 existing turnpike project or system;
87-25 (2) borrowing money and issuing bonds or entering into
87-26 a loan agreement payable out of legally available revenue
87-27 anticipated to be derived from the operation of an existing
88-1 turnpike project or system; or
88-2 (3) pledging to the payment of the bonds or loan
88-3 agreements legally available revenue anticipated to be derived from
88-4 the operation of an existing turnpike project or system or revenue
88-5 legally available to the authority from another source.
88-6 (b) Money spent under this section for a proposed turnpike
88-7 project or system must be reimbursed to the turnpike project or
88-8 system from which the money was spent from the proceeds of bonds
88-9 issued for the acquisition and construction of the proposed
88-10 turnpike project or system.
88-11 (c) The use of any money of a turnpike project or system to
88-12 study the feasibility of another turnpike project or system or used
88-13 to repay any money used for that purpose does not constitute an
88-14 operating expense of the turnpike project or system producing the
88-15 revenue and may only be paid from the surplus money of the turnpike
88-16 project or system.
88-17 Sec. 366.072. FEASIBILITY STUDY FUND. (a) An authority may
88-18 maintain a feasibility study fund. The fund is a revolving fund
88-19 held in trust by a banking institution chosen by the authority and
88-20 shall be kept separate from the money for any turnpike project or
88-21 system.
88-22 (b) An authority may transfer an amount from a surplus fund
88-23 established for a turnpike project or system to the authority's
88-24 feasibility study fund if the remainder of the surplus fund is not
88-25 less than any minimum amount required by the bond proceedings to be
88-26 retained for that turnpike project or system.
88-27 (c) Money in the feasibility study fund may be used only to
89-1 pay the expenses of studying the cost and feasibility and any other
89-2 expenses relating to:
89-3 (1) the preparation and issuance of bonds for the
89-4 acquisition and construction of a proposed turnpike project or
89-5 system;
89-6 (2) the financing of the improvement, extension, or
89-7 expansion of an existing turnpike project or system; and
89-8 (3) private participation, as authorized by law, in
89-9 the financing of a proposed turnpike project or system, the
89-10 refinancing of an existing turnpike project or system, or the
89-11 improvement, extension, or expansion of a turnpike project or
89-12 system.
89-13 (d) Money spent under Subsection (c) for a proposed turnpike
89-14 project or system must be reimbursed from the proceeds of turnpike
89-15 revenue bonds issued for, or other proceeds that may be used for,
89-16 the acquisition, construction, improvement, extension, expansion,
89-17 or operation of the turnpike project or system.
89-18 (e) For a purpose described by Subsection (c), an authority
89-19 may borrow money and issue promissory notes or other
89-20 interest-bearing evidences of indebtedness payable out of its
89-21 feasibility study fund, pledging money in the fund or to be placed
89-22 in the fund.
89-23 Sec. 366.073. FEASIBILITY STUDY BY MUNICIPALITY, COUNTY,
89-24 OTHER LOCAL GOVERNMENTAL ENTITY, OR PRIVATE GROUP. (a) One or
89-25 more municipalities, counties, or local governmental entities, a
89-26 combination of municipalities, counties, and local governmental
89-27 entities, or a private group or combination of individuals in this
90-1 state may pay all or part of the expenses of studying the cost and
90-2 feasibility and any other expenses relating to:
90-3 (1) the preparation and issuance of bonds for the
90-4 acquisition and construction of a proposed turnpike project or
90-5 system by an authority;
90-6 (2) the improvement, extension, or expansion of an
90-7 authority's existing turnpike project or system; or
90-8 (3) the use of private participation under applicable
90-9 law in connection with the acquisition, construction, improvement,
90-10 expansion, extension, maintenance, repair, or operation of a
90-11 turnpike project or system by an authority.
90-12 (b) Money spent under Subsection (a) for an authority's
90-13 proposed turnpike project or system is reimbursable without
90-14 interest and with the consent of the authority to the person paying
90-15 the expenses described in Subsection (a) out of the proceeds from
90-16 turnpike revenue bonds issued for or other proceeds that may be
90-17 used for the acquisition, construction, improvement, extension,
90-18 expansion, or operation of the turnpike project or system.
90-19 (Sections 366.074-366.110 reserved for expansion
90-20 SUBCHAPTER D. TURNPIKE FINANCING
90-21 Sec. 366.111. TURNPIKE REVENUE BONDS. (a) An authority, by
90-22 adoption of a bond resolution, may authorize the issuance of bonds
90-23 to pay all or part of the cost of a turnpike project or system, to
90-24 refund any bonds previously issued for the turnpike project or
90-25 system, or to pay for all or part of the cost of a turnpike project
90-26 or system that will become a part of another system.
90-27 (b) As determined in the bond resolution, the bonds of each
91-1 issue shall:
91-2 (1) be dated;
91-3 (2) bear interest at the rate or rates and beginning
91-4 on the dates, as authorized by law, or bear no interest;
91-5 (3) mature at the time or times, not exceeding 40
91-6 years from their date or dates; and
91-7 (4) be made redeemable before maturity at the price or
91-8 prices and under the terms provided by the bond resolution.
91-9 (c) An authority may sell the bonds at public or private
91-10 sale in the manner and for the price it determines to be in the
91-11 best interest of the authority.
91-12 (d) The proceeds of each bond issue shall be disbursed in
91-13 the manner and under the restrictions, if any, the authority
91-14 provides in the bond resolution.
91-15 (e) Additional bonds may be issued in the same manner to pay
91-16 the costs of a turnpike project or system. Unless otherwise
91-17 provided in the bond resolution, the additional bonds shall be on a
91-18 parity, without preference or priority, with bonds previously
91-19 issued and payable from the revenue of the turnpike project or
91-20 system. In addition, an authority may issue bonds for a turnpike
91-21 project or system secured by a lien on the revenue of the turnpike
91-22 project or system subordinate to the lien on the revenue securing
91-23 other bonds issued for the turnpike project or system.
91-24 (f) If the proceeds of a bond issue exceed the cost of the
91-25 turnpike project or system for which the bonds were issued, the
91-26 surplus shall be segregated from the other money of the authority
91-27 and used only for the purposes specified in the bond resolution.
92-1 (g) Bonds issued and delivered under this chapter and
92-2 interest coupons on the bonds are a security under Chapter 8,
92-3 Business & Commerce Code.
92-4 (h) Bonds issued under this chapter and income from the
92-5 bonds, including any profit made on the sale or transfer of the
92-6 bonds, are exempt from taxation in this state.
92-7 Sec. 366.112. INTERIM BONDS. (a) An authority may, before
92-8 issuing definitive bonds, issue interim bonds, with or without
92-9 coupons, exchangeable for definitive bonds.
92-10 (b) The interim bonds may be authorized and issued in
92-11 accordance with this chapter, without regard to the requirements,
92-12 restrictions, or procedural provisions contained in any other law.
92-13 (c) A bond resolution authorizing interim bonds may provide
92-14 that the interim bonds recite that the bonds are issued under this
92-15 chapter. The recital is conclusive evidence of the validity and
92-16 the regularity of the bonds' issuance.
92-17 Sec. 366.113. PAYMENT OF BONDS; STATE AND COUNTY CREDIT NOT
92-18 PLEDGED. (a) The principal of, interest on, and any redemption
92-19 premium on bonds issued by an authority are payable solely from:
92-20 (1) the revenue of the turnpike project or system for
92-21 which the bonds are issued, including tolls pledged to pay the
92-22 bonds;
92-23 (2) payments made under an agreement with the
92-24 commission or a local governmental entity as provided by Subchapter
92-25 G;
92-26 (3) money derived from any other source available to
92-27 the authority, other than money derived from a turnpike project
93-1 that is not part of the same system or money derived from a
93-2 different system, except to the extent that the surplus revenue of
93-3 a turnpike project or system has been pledged for that purpose; and
93-4 (4) amounts received under a credit agreement relating
93-5 to the turnpike project or system for which the bonds are issued.
93-6 (b) Bonds issued under this chapter do not constitute a debt
93-7 of the state or any of the counties of an authority or a pledge of
93-8 the faith and credit of the state or any of the counties. Each
93-9 bond must contain on its face a statement to the effect that the
93-10 state, the authority, and the counties of the authority are not
93-11 obligated to pay the bond or the interest on the bond from a source
93-12 other than the amount pledged to pay the bond and the interest on
93-13 the bond, and neither the faith and credit and taxing power of the
93-14 state or the counties of the authority are pledged to the payment
93-15 of the principal of or interest on the bond.
93-16 (c) An authority may not incur financial obligations that
93-17 cannot be paid from revenue derived from owning or operating the
93-18 authority's turnpike projects and systems or from other revenue
93-19 provided by law.
93-20 Sec. 366.114. EFFECT OF LIEN. (a) A lien on or a pledge of
93-21 revenue from a turnpike project or system under this chapter or on
93-22 a reserve, replacement, or other fund established in connection
93-23 with a bond issued under this chapter:
93-24 (1) is enforceable at the time of payment for and
93-25 delivery of the bond;
93-26 (2) applies to an item on hand or subsequently
93-27 received;
94-1 (3) applies without physical delivery of an item or
94-2 other act; and
94-3 (4) is enforceable against any person having any
94-4 claim, in tort, contract, or other remedy, against the applicable
94-5 authority without regard to whether the person has notice of the
94-6 lien or pledge.
94-7 (b) A bond resolution is not required to be recorded except
94-8 in the regular records of the authority.
94-9 Sec. 366.115. BOND INDENTURE. (a) Bonds issued under this
94-10 chapter may be secured by a bond indenture between the authority
94-11 and a corporate trustee that is a trust company or a bank that has
94-12 the powers of a trust company.
94-13 (b) A bond indenture may pledge or assign the tolls and
94-14 other revenue to be received but may not convey or mortgage any
94-15 part of a turnpike project or system.
94-16 (c) A bond indenture may:
94-17 (1) set forth the rights and remedies of the
94-18 bondholders and the trustee;
94-19 (2) restrict the individual right of action by
94-20 bondholders as is customary in trust agreements or indentures of
94-21 trust securing corporate bonds and debentures; and
94-22 (3) contain provisions the authority determines
94-23 reasonable and proper for the security of the bondholders,
94-24 including covenants:
94-25 (A) establishing the authority's duties relating
94-26 to:
94-27 (i) the acquisition of property;
95-1 (ii) the construction, maintenance,
95-2 operation, and repair of and insurance for a turnpike project or
95-3 system; and
95-4 (iii) custody, safeguarding, and
95-5 application of money;
95-6 (B) prescribing events that constitute default;
95-7 (C) prescribing terms on which any or all of the
95-8 bonds become or may be declared due before maturity; and
95-9 (D) relating to the rights, powers, liabilities,
95-10 or duties that arise on the breach of an authority's duty.
95-11 (d) The expenses incurred in carrying out a trust agreement
95-12 may be treated as part of the cost of operating the turnpike
95-13 project.
95-14 (e) In addition to all other rights by mandamus or other
95-15 court proceeding, an owner or trustee of a bond issued under this
95-16 chapter may enforce the owner's rights against an issuing
95-17 authority, the authority's employees, the authority's board, or an
95-18 agent or employee of the authority's board and is entitled to:
95-19 (1) require the authority and the board to impose and
95-20 collect tolls, charges, and other revenue sufficient to carry out
95-21 any agreement contained in the bond proceedings; and
95-22 (2) apply for and obtain the appointment of a receiver
95-23 for the turnpike project or system.
95-24 Sec. 366.116. APPROVAL OF BONDS BY ATTORNEY GENERAL.
95-25 (a) An authority shall submit to the attorney general for
95-26 examination a transcript of proceedings relating to bonds
95-27 authorized under this chapter. The transcript shall include the
96-1 bond proceedings and any contract securing or providing revenue for
96-2 the payment of the bonds.
96-3 (b) If the attorney general determines that the bonds, the
96-4 bond proceedings, and any supporting contract are authorized by
96-5 law, the attorney general shall approve the bonds and deliver to
96-6 the comptroller:
96-7 (1) a copy of the legal opinion of the attorney
96-8 general stating the approval; and
96-9 (2) the record of proceedings relating to the
96-10 authorization of the bonds.
96-11 (c) On receipt of the legal opinion of the attorney general
96-12 and the record of proceedings relating to the authorization of the
96-13 bonds, the comptroller shall register the record of proceedings.
96-14 (d) After approval by the attorney general, the bonds, the
96-15 bond proceedings, and any supporting contract are valid,
96-16 enforceable, and incontestable in any court or other forum for any
96-17 reason and are binding obligations according to their terms for all
96-18 purposes.
96-19 Sec. 366.117. FURNISHING OF INDEMNIFYING BONDS OR PLEDGES OF
96-20 SECURITIES. (a) A bank or trust company incorporated under the
96-21 laws of this state that acts as depository of the proceeds of bonds
96-22 or of revenue may furnish indemnifying bonds or pledge securities
96-23 that an authority requires.
96-24 (b) Bonds of an authority may secure the deposit of public
96-25 money of the state or a political subdivision of the state to the
96-26 extent of the lesser of the face value of the bonds or their market
96-27 value.
97-1 Sec. 366.118. APPLICABILITY OF OTHER LAW; CONFLICTS. All
97-2 laws affecting the issuance of bonds by local governmental
97-3 entities, including Chapter 656, Acts of the 68th Legislature,
97-4 Regular Session, 1983 (Article 717q, Vernon's Texas Civil
97-5 Statutes), Chapter 3, Acts of the 61st Legislature, Regular
97-6 Session, 1969 (Article 717k-2, Vernon's Texas Civil Statutes), the
97-7 Bond Procedures Act of 1981 (Article 717k-6, Vernon's Texas Civil
97-8 Statutes), and Chapter 53, Acts of the 70th Legislature, 2nd Called
97-9 Session, 1987 (Article 717k-8, Vernon's Texas Civil Statutes),
97-10 apply to bonds issued under this chapter. To the extent of a
97-11 conflict between those laws and this chapter, the provisions of
97-12 this chapter prevail.
97-13 (Sections 366.119-366.160 reserved for expansion
97-14 SUBCHAPTER E. ACQUISITION, CONSTRUCTION, AND OPERATION
97-15 OF TURNPIKE PROJECTS
97-16 Sec. 366.161. TURNPIKE PROJECTS EXTENDING INTO OTHER
97-17 COUNTIES. An authority may acquire, construct, operate, maintain,
97-18 expand, or extend a turnpike project in:
97-19 (1) a county that is a part of the authority; or
97-20 (2) a county in which the authority operates or is
97-21 constructing a turnpike project if the turnpike project in the
97-22 affected county is a continuation of the authority's turnpike
97-23 project or system extending from an adjacent county.
97-24 Sec. 366.162. POWERS AND PROCEDURES OF AUTHORITY IN
97-25 ACQUIRING PROPERTY. (a) An authority may construct or improve a
97-26 turnpike project on real property, including a right-of-way
97-27 acquired by the authority or provided to the authority for that
98-1 purpose by the commission, a political subdivision of this state,
98-2 or any other local governmental entity.
98-3 (b) Except as provided by this chapter, an authority has the
98-4 same powers and may use the same procedures as the commission in
98-5 acquiring property.
98-6 Sec. 366.163. ACQUISITION OF PROPERTY. (a) An authority
98-7 may acquire in the name of the authority public or private real and
98-8 other property it determines necessary or convenient for the
98-9 construction, operation, maintenance, expansion, or extension of a
98-10 turnpike project or for otherwise carrying out this chapter.
98-11 (b) The property an authority may acquire under this
98-12 subchapter includes all or any portion of, and rights in and to:
98-13 (1) public or private land, streets, alleys,
98-14 rights-of-way, parks, playgrounds, and reservations;
98-15 (2) franchises;
98-16 (3) easements;
98-17 (4) licenses; and
98-18 (5) other interests in real and other property.
98-19 (c) An authority may acquire real property by any method,
98-20 including purchase and condemnation. An authority may purchase
98-21 public or private real property on the terms and at the price the
98-22 authority and the property owner consider reasonable.
98-23 (d) Covenants, conditions, restrictions, or limitations
98-24 affecting property acquired in any manner by the authority are not
98-25 binding against the authority and do not impair the authority's
98-26 ability to use the property for a purpose authorized by this
98-27 chapter. The beneficiaries of the covenants, conditions,
99-1 restrictions, or limitations are not entitled to enjoin the
99-2 authority from using the property for a purpose authorized under
99-3 this chapter, but this section does not affect the right of a
99-4 person to seek compensation for damages to the person's property
99-5 under Section 17, Article I, Texas Constitution.
99-6 (e) Subsection (d) does not affect the obligation of the
99-7 authority under other state law to compensate the state for
99-8 acquiring or using property owned by or on behalf of the state.
99-9 Sec. 366.164. RIGHT OF ENTRY. (a) To acquire property
99-10 necessary or useful in connection with a turnpike project, an
99-11 authority may enter any real property, water, or premises to make a
99-12 survey, geotechnical evaluation, sounding, or examination.
99-13 (b) An entry under Subsection (a) is not:
99-14 (1) a trespass; or
99-15 (2) an entry under a pending condemnation proceeding.
99-16 (c) The authority shall make reimbursements for any actual
99-17 damages to real property, water, or premises that result from an
99-18 activity described by Subsection (a).
99-19 Sec. 366.165. CONDEMNATION OF REAL PROPERTY. (a) Subject
99-20 to Subsection (c), an authority may acquire public or private real
99-21 property in the name of the authority by the exercise of the power
99-22 of condemnation under the laws applicable to the exercise of that
99-23 power on property for public use if:
99-24 (1) the authority and the property owner cannot agree
99-25 on a reasonable price for the property; or
99-26 (2) the property owner is legally incapacitated,
99-27 absent, unknown, or unable to convey title.
100-1 (b) An authority may condemn real property that the
100-2 authority determines is:
100-3 (1) necessary or appropriate to construct or to
100-4 efficiently operate a turnpike project;
100-5 (2) necessary to restore public or private property
100-6 damaged or destroyed, including property necessary or convenient to
100-7 mitigate an environmental effect that directly results from the
100-8 construction, operation, or maintenance of a turnpike project;
100-9 (3) necessary for access, approach, and interchange
100-10 roads;
100-11 (4) necessary to provide proper drainage and ground
100-12 slope for a turnpike project; or
100-13 (5) necessary otherwise to implement this chapter.
100-14 (c) An authority may construct a supplemental facility only
100-15 on real property the authority purchases.
100-16 (d) An authority's acquisition of any real or other property
100-17 of the commission under this section or any other section of this
100-18 chapter, or an authority's relocation, rerouting, disruption, or
100-19 alteration of any facility of the commission is considered a
100-20 conversion of a state highway under Section 366.035 and is subject
100-21 to all requirements and approvals of a conversion under that
100-22 section.
100-23 Sec. 366.166. DECLARATION OF TAKING. (a) An authority may
100-24 file a declaration of taking with the clerk of the court:
100-25 (1) in which the authority files a condemnation
100-26 petition under Chapter 21, Property Code; or
100-27 (2) to which the case is assigned.
101-1 (b) An authority may not file the declaration of taking:
101-2 (1) before the 91st day after the date the
101-3 condemnation petition has been filed; or
101-4 (2) after the special commissioners have made an award
101-5 in the condemnation proceeding.
101-6 (c) The declaration of taking must include:
101-7 (1) a specific reference to the legislative authority
101-8 for the condemnation;
101-9 (2) a description and plot plan of the real property
101-10 to be condemned, including the following information if applicable:
101-11 (A) the municipality in which the property is
101-12 located;
101-13 (B) the street address of the property; and
101-14 (C) the lot and block number of the property;
101-15 (3) a statement of the property interest to be
101-16 condemned;
101-17 (4) the name and address of each property owner that
101-18 the authority can obtain after reasonable investigation and a
101-19 description of the owner's interest in the property; and
101-20 (5) a statement that immediate possession of all or
101-21 part of the property to be condemned is necessary for the timely
101-22 construction of a turnpike project.
101-23 (d) A deposit to the registry of the court of an amount
101-24 equal to the appraised fair market value, as determined by the
101-25 authority, of the property to be condemned and any damages to the
101-26 remainder must accompany the declaration of taking.
101-27 (e) Instead of the deposit under Subsection (d), at its
102-1 option, the authority may, concurrently with the declaration of a
102-2 taking, tender in favor of the owner of the subject property a bond
102-3 or other security in an amount sufficient to secure the owner for
102-4 the value of the property taken and damages to remaining property,
102-5 if the authority obtains the court's approval.
102-6 (f) The date on which the declaration is filed is the date
102-7 of taking for the purpose of assessing the value of the property
102-8 taken and damages to any remaining property to which an owner is
102-9 entitled.
102-10 (g) An owner may draw upon the deposit held by the court
102-11 under Subsection (d) on the same terms and conditions as are
102-12 applicable under state law to a property owner's withdrawal of a
102-13 commissioners' award deposited under Section 21.021(a)(1), Property
102-14 Code.
102-15 (h) A property owner that is a defendant in an eminent
102-16 domain action filed by an authority under this chapter has 20 days
102-17 after the date of service of process of both a condemnation
102-18 petition and a notice of declaration of taking to give notice to
102-19 the court in which the action is pending of the defendant's desire
102-20 to have the condemnation petition placed on the court's docket in
102-21 the same manner as other cases pending in the court. On receipt of
102-22 timely notice from the defendant, the court in which the eminent
102-23 domain action is pending shall place the case on its docket in the
102-24 same manner as other cases pending in the court.
102-25 Sec. 366.167. POSSESSION OF PROPERTY. (a) Immediately on
102-26 the filing of a declaration of taking, an authority shall serve a
102-27 copy of the declaration on each person possessing an interest in
103-1 the condemned property by a method prescribed by Section 21.016(d),
103-2 Property Code. The authority shall file evidence of the service
103-3 with the clerk of the court. On filing of that evidence, the
103-4 authority may take possession of the property on the same terms as
103-5 if a commissioners hearing had been conducted, pending the
103-6 litigation.
103-7 (b) If the condemned property is a homestead or a portion of
103-8 a homestead as defined by Section 41.002, Property Code, an
103-9 authority may not take possession before the 31st day after the
103-10 date of service under Subsection (a).
103-11 (c) A property owner or tenant who refuses to vacate the
103-12 property or yield possession is subject to forcible entry and
103-13 detainer under Chapter 24, Property Code.
103-14 Sec. 366.168. SEVERANCE OF REAL PROPERTY. (a) If an
103-15 authority's turnpike project severs a property owner's real
103-16 property, the authority shall pay:
103-17 (1) the value of the property acquired; and
103-18 (2) the damages, if any, to the remainder of the
103-19 owner's property caused by the severance, including damages caused
103-20 by the inaccessibility of one tract from the other.
103-21 (b) At its option, an authority may negotiate for and
103-22 purchase the severed real property or any part of the severed real
103-23 property if the authority and the property owner agree on terms for
103-24 the purchase. An authority may sell and dispose of severed real
103-25 property that it determines is not necessary or useful to the
103-26 authority. Severed property must be appraised before being offered
103-27 for sale by an authority.
104-1 Sec. 366.169. ACQUISITION OF RIGHTS IN PUBLIC REAL PROPERTY.
104-2 (a) An authority may use real property, including submerged land,
104-3 streets, alleys, and easements, owned by the state or a local
104-4 governmental entity that the authority considers necessary for the
104-5 construction or operation of a turnpike project.
104-6 (b) The state or a local governmental entity having charge
104-7 of public real property may consent to the use of the property for
104-8 a turnpike project.
104-9 (c) Except as provided by Section 366.035, the state or a
104-10 local governmental entity may convey, grant, or lease to an
104-11 authority real property, including highways and other real property
104-12 already devoted to public use and rights or easements in real
104-13 property, that may be necessary or convenient to accomplish the
104-14 authority's purposes, including the construction or operation of a
104-15 turnpike project. A conveyance, grant, or lease under this section
104-16 may be made without advertising, court order, or other action other
104-17 than the normal action of the state or local governmental entity
104-18 necessary for a conveyance, grant, or lease.
104-19 (d) This section does not deprive the School Land Board of
104-20 the power to execute leases for the development of oil, gas, and
104-21 other minerals on state-owned real property adjoining a turnpike
104-22 project or in tidewater limits. The leases may provide for
104-23 directional drilling from the adjoining property or tidewater area.
104-24 (e) This section does not affect the obligation of the
104-25 authority under other state law to compensate the state for
104-26 acquiring or using property owned by or on behalf of the state. An
104-27 authority's use of property owned by or on behalf of the state is
105-1 subject to any covenants, conditions, restrictions, or limitations
105-2 affecting that property.
105-3 Sec. 366.170. COMPENSATION FOR AND RESTORATION OF PUBLIC
105-4 PROPERTY. (a) Except as provided by Section 366.035 or Section
105-5 366.165(c), an authority may not pay compensation for public real
105-6 property, parkways, streets, highways, alleys, or reservations it
105-7 takes, except for:
105-8 (1) parks and playgrounds;
105-9 (2) property owned by or on behalf of the state that
105-10 under state law requires compensation to the state for the use or
105-11 acquisition of the property; or
105-12 (3) as provided by this chapter.
105-13 (b) Public property damaged in the exercise of powers
105-14 granted by this chapter shall be restored or repaired and placed in
105-15 its original condition as nearly as practicable.
105-16 (c) An authority has full easements and rights-of-way
105-17 through, across, under, and over any property owned by the state or
105-18 any local governmental entity that are necessary or convenient to
105-19 construct, acquire, or efficiently operate a turnpike project or
105-20 system under this chapter. This subsection does not affect the
105-21 obligation of the authority under other state law to compensate the
105-22 state for the use or acquisition of an easement or right-of-way on
105-23 property owned by or on behalf of the state. An authority's use of
105-24 property owned by or on behalf of the state is subject to any
105-25 covenants, conditions, restrictions, or limitations affecting that
105-26 property.
105-27 Sec. 366.171. PUBLIC UTILITY FACILITIES. (a) An authority
106-1 may adopt rules for the installation, construction, operation,
106-2 maintenance, repair, renewal, relocation, and removal of a public
106-3 utility facility in, on, along, over, or under a turnpike project.
106-4 (b) If an authority determines it is necessary that a public
106-5 utility facility located in, on, along, over, or under a turnpike
106-6 project be relocated in the turnpike project, removed from the
106-7 turnpike project, or carried along or across the turnpike project
106-8 by grade separation, the owner or operator of the utility facility
106-9 shall relocate or remove the facility in accordance with the
106-10 requirements of the authority and in a manner that does not
106-11 unreasonably impede the design, financing, construction, operation,
106-12 or maintenance of the turnpike project. The authority, as a part
106-13 of the cost of the turnpike project or the cost of operating the
106-14 turnpike project, shall pay the cost of the relocation, removal, or
106-15 grade separation, including the cost of:
106-16 (1) installation of the facility in a new location;
106-17 (2) damages incurred by the utility to its facilities
106-18 and services;
106-19 (3) interests in real property and other rights
106-20 acquired to accomplish the relocation or removal; and
106-21 (4) maintenance of grade separation structures.
106-22 (c) The authority may reduce the total costs to be paid by
106-23 the authority under Subsection (b) by 10 percent for each 30-day
106-24 period or portion of a 30-day period by which the relocation
106-25 exceeds the limit agreed to by the owner or operator of the public
106-26 utility facility and the authority. The owner or operator of the
106-27 facility and the authority may not unreasonably withhold approval
107-1 for an agreement. If an owner or operator of a public utility
107-2 facility does not timely remove or relocate as required under
107-3 Subsection (b), the authority may do so at the expense of the
107-4 public utility. If the authority determines that a delay in
107-5 relocation is the result of circumstances beyond the control of the
107-6 utility, full costs shall be paid by the authority.
107-7 (d) Chapter 228, Acts of the 51st Legislature, Regular
107-8 Session, 1949 (Article 1436a, Vernon's Texas Civil Statutes),
107-9 applies to the erection, construction, maintenance, and operation
107-10 of lines and poles owned by a corporation described by Section 1 of
107-11 that Act over, under, across, on, and along a turnpike project or
107-12 system constructed by an authority. An authority has the powers
107-13 and duties delegated to the commissioners court by that Act, and an
107-14 authority has exclusive jurisdiction and control of utilities
107-15 located in its rights-of-way.
107-16 (e) Chapter 470, Acts of the 52nd Legislature, Regular
107-17 Session, 1951 (Article 1436b, Vernon's Texas Civil Statutes),
107-18 applies to the laying and maintenance of facilities used for
107-19 conducting gas by a person, firm, or corporation or municipality
107-20 described in Section 1 of that Act through, under, along, across,
107-21 and over a turnpike project or system constructed by an authority
107-22 except as otherwise provided by this section. An authority has the
107-23 power and duties delegated to the commissioners court by that Act
107-24 and an authority has exclusive jurisdiction and control of
107-25 utilities located in its right-of-way.
107-26 (f) The laws of this state applicable to the use of public
107-27 roads, streets, and waters by a telephone and telegraph corporation
108-1 apply to the erection, construction, maintenance, location, and
108-2 operation of a line, pole, or other fixture by a telephone and
108-3 telegraph corporation over, under, across, on, and along a turnpike
108-4 project or system constructed by an authority under this chapter.
108-5 (g) In this section "public utility facility" means a track,
108-6 pipe, main, conduit, cable, wire, tower, pole, or other item of
108-7 plant or equipment or an appliance of a public utility or other
108-8 person.
108-9 Sec. 366.172. LEASE, SALE, OR CONVEYANCE OF TURNPIKE
108-10 PROJECT. (a) An authority may lease, sell, or convey in another
108-11 manner a turnpike project to the department, a county, or a local
108-12 government corporation created under Chapter 431.
108-13 (b) An agreement to lease, sell, or convey a turnpike
108-14 project under this section must provide for the discharge and final
108-15 payment or redemption of the authority's outstanding bonded
108-16 indebtedness for the turnpike project and must not be prohibited
108-17 under the bond proceedings applicable to the system, if any, of
108-18 which the turnpike project is a part.
108-19 Sec. 366.173. REVENUE. (a) An authority may:
108-20 (1) impose tolls for the use of each of its turnpike
108-21 projects and systems and the different parts or sections of each of
108-22 its turnpike projects and systems; and
108-23 (2) contract with a person for the use of part of a
108-24 turnpike project or system or lease or sell part of a turnpike
108-25 project or system, including the right-of-way adjoining the paved
108-26 portion, for any purpose, including placing on the adjoining
108-27 right-of-way a gas station, garage, store, hotel, restaurant,
109-1 parking facility, railroad track, billboard, livestock pasturage,
109-2 telephone line or facility, telecommunication line or facility,
109-3 data transmission line or facility, and electric line or facility,
109-4 under terms set by the authority.
109-5 (b) Tolls must be set so that the aggregate of tolls from an
109-6 authority's turnpike project or system, together with other revenue
109-7 of the turnpike project or system:
109-8 (1) provides revenue sufficient to pay:
109-9 (A) the cost of maintaining, repairing, and
109-10 operating the turnpike project or system; and
109-11 (B) the principal of and interest on the bonds
109-12 issued for the turnpike project or system as those bonds become due
109-13 and payable; and
109-14 (2) creates reserves for a purpose listed under
109-15 Subdivision (1).
109-16 (c) Tolls are not subject to supervision or regulation by
109-17 any state agency or other local governmental entity.
109-18 (d) Tolls and other revenue derived from a turnpike project
109-19 or system for which bonds are issued, except the part necessary to
109-20 pay the cost of maintenance, repair, and operation and to provide
109-21 reserves for those costs as may be provided in the bond
109-22 proceedings, shall be set aside at regular intervals as may be
109-23 provided in the bond resolution or trust agreement in a sinking
109-24 fund that is pledged to and charged with the payment of:
109-25 (1) interest on the bonds as it becomes due;
109-26 (2) principal of the bonds as it becomes due;
109-27 (3) necessary charges of paying agents for paying
110-1 principal and interest; and
110-2 (4) the redemption price or the purchase price of
110-3 bonds retired by call or purchase as provided by the bond
110-4 proceedings.
110-5 (e) Use and disposition of money to the credit of the
110-6 sinking fund is subject to the bond proceedings.
110-7 (f) To the extent permitted under the applicable bond
110-8 proceedings, revenue from one turnpike project of an authority may
110-9 be used to pay the cost of other turnpike projects of the
110-10 authority.
110-11 (g) An authority may not use revenue from its turnpike
110-12 projects in a manner not authorized by this chapter. Revenue
110-13 generated from a turnpike project may not be applied for a purpose
110-14 or to pay a cost other than a cost or purpose that is reasonably
110-15 related to or anticipated to be for the benefit of a turnpike
110-16 project.
110-17 Sec. 366.174. AUTHORITY REVOLVING FUND. (a) An authority
110-18 may maintain a revolving fund to be held in trust by a banking
110-19 institution chosen by the authority separate from any other funds
110-20 and administered by the authority's board.
110-21 (b) An authority may transfer into its revolving fund money
110-22 from any permissible source, including:
110-23 (1) money from a turnpike project if the transfer does
110-24 not diminish the money available for the project or the system, if
110-25 any, of which it is a part to less than an amount required to be
110-26 retained by the bond proceedings pertaining to the project or
110-27 system;
111-1 (2) money received by the authority from any source
111-2 and not otherwise committed, including money from the transfer of a
111-3 turnpike project or system or sale of authority assets;
111-4 (3) advances authorized under Section 52-b, Article
111-5 III, Texas Constitution; and
111-6 (4) contributions, loans, grants, or assistance from
111-7 the United States, another state, a political subdivision of this
111-8 state, a foreign governmental entity, including the United Mexican
111-9 States or a state of the United Mexican States, a local
111-10 governmental entity, any private enterprise, or any person.
111-11 (c) The authority may use money in the revolving fund to:
111-12 (1) finance the acquisition, construction,
111-13 maintenance, or operation of a turnpike project or system,
111-14 including the extension, expansion, or improvement of a project or
111-15 system;
111-16 (2) provide matching money required in connection with
111-17 any federal, state, local, or private aid, grant, or other funding,
111-18 including aid or funding by or with public-private partnerships;
111-19 (3) provide credit enhancement either directly or
111-20 indirectly for bonds issued to acquire, construct, extend, expand,
111-21 or improve a turnpike project or system;
111-22 (4) provide security for or payment of future or
111-23 existing debt for the design, acquisition, construction, operation,
111-24 maintenance, extension, expansion, or improvement of a turnpike
111-25 project or system;
111-26 (5) borrow money and issue promissory notes or other
111-27 indebtedness payable out of the revolving fund for any purpose
112-1 authorized by this chapter; and
112-2 (6) provide for any other reasonable purpose that
112-3 assists in the financing of an authority as authorized by this
112-4 chapter.
112-5 (d) Money spent or advanced from the revolving fund for a
112-6 turnpike project or system must be reimbursed from the money of
112-7 that turnpike project or system, and there must be a reasonable
112-8 expectation of such repayment at the time of authorization.
112-9 Sec. 366.175. USE OF SURPLUS REVENUE. The board of an
112-10 authority may by resolution authorize the use of surplus revenue of
112-11 a turnpike project or system to pay the costs of another turnpike
112-12 project or system other than a project financed under Subchapter G.
112-13 The board may in the resolution prescribe terms for the use of the
112-14 revenue, including the pledge of the revenue, but may not take an
112-15 action under this section that violates, impairs, or is
112-16 inconsistent with a bond resolution, trust agreement, or indenture
112-17 governing the use of the surplus revenue.
112-18 Sec. 366.176. EXEMPTION FROM TAXATION OR ASSESSMENT.
112-19 (a) An authority is exempt from taxation of or assessments on:
112-20 (1) a turnpike project or system;
112-21 (2) property the authority acquires or uses under this
112-22 chapter; or
112-23 (3) income from property described by Subdivision (1)
112-24 or (2).
112-25 (b) An authority is exempt from payment of development fees,
112-26 utility connection fees, assessments, and service fees imposed or
112-27 assessed by a county, municipality, road and utility district,
113-1 river authority, any other state or local governmental entity, or
113-2 any property owners' or homeowners' association.
113-3 Sec. 366.177. ACTIONS AFFECTING EXISTING ROADS. (a) An
113-4 authority may impose a toll for transit over an existing free road,
113-5 street, or public highway transferred to the authority under this
113-6 chapter.
113-7 (b) An authority may construct a grade separation at an
113-8 intersection of a turnpike project with a railroad or highway and
113-9 change the line or grade of a highway to accommodate the design of
113-10 the grade separation. The action may not affect a segment of the
113-11 state highway system without the department's consent. The
113-12 authority shall pay the cost of a grade separation and any damage
113-13 incurred in changing a line or grade of a railroad or highway as
113-14 part of the cost of the turnpike project.
113-15 (c) If feasible, an authority shall provide access to
113-16 properties previously abutting a county or other public road that
113-17 is taken for a turnpike project and shall pay abutting property
113-18 owners the expenses or any resulting damages for a denial of access
113-19 to the road.
113-20 Sec. 366.178. FAILURE OR REFUSAL TO PAY TOLL. (a) A motor
113-21 vehicle other than a police or emergency vehicle that passes
113-22 through a toll collection facility, whether driven or towed, shall
113-23 pay the proper toll.
113-24 (b) A person who fails or refuses to pay a toll provided for
113-25 the use of a project is liable for a fine not to exceed $250, plus
113-26 an administrative fee incurred in connection with the violation.
113-27 (c) If a person fails to pay the proper toll:
114-1 (1) on issuance of a notice of nonpayment, the
114-2 registered owner of the nonpaying vehicle shall pay both the proper
114-3 toll and the administrative fee; and
114-4 (2) an authority may charge an administrative fee of
114-5 not more than $100 to recover the cost of collecting the unpaid
114-6 toll.
114-7 (d) Notice of nonpayment under Subsection (c)(1) shall be
114-8 sent by first-class mail and may not require payment of the proper
114-9 toll and the administrative fee before the 30th day after the date
114-10 the notice is mailed. The registered owner shall pay a separate
114-11 toll and administrative fee for each nonpayment.
114-12 (e) If the registered owner of the vehicle fails to pay the
114-13 proper toll and administrative fee in the time specified by the
114-14 notice, the owner shall be cited as for other traffic violations as
114-15 provided by law, and the owner shall pay a fine of not more than
114-16 $250 for each nonpayment.
114-17 (f) In the prosecution of a violation for nonpayment, proof
114-18 that the vehicle passed through a toll collection facility without
114-19 payment of the proper toll together with proof that the defendant
114-20 was the registered owner or the driver of the vehicle when the
114-21 failure to pay occurred, establishes the nonpayment of the
114-22 registered owner. The proof may be by testimony of a peace officer
114-23 or authority employee, video surveillance, or any other reasonable
114-24 evidence.
114-25 (g) The court of the local jurisdiction in which the
114-26 violation occurs may assess and collect the fine in addition to any
114-27 court costs. The court shall collect the proper toll and
115-1 administrative fee and forward the toll and fee to the authority.
115-2 (h) It is a defense to nonpayment under this section that
115-3 the motor vehicle in question was stolen before the failure to pay
115-4 the proper toll occurred and was not recovered by the time of the
115-5 failure to pay, but only if the theft was reported to the
115-6 appropriate law enforcement authority before the earlier of:
115-7 (1) the occurrence of the failure to pay; or
115-8 (2) eight hours after the discovery of the theft.
115-9 (i) A registered owner who is the lessor of a vehicle for
115-10 which a notice of nonpayment has been issued is not liable if, not
115-11 later than the 30th day after the date the notice of nonpayment is
115-12 mailed, the registered owner provides to the authority a copy of
115-13 the lease agreement covering the vehicle on the date of the
115-14 nonpayment. The name and address of the lessee must be clearly
115-15 legible. If the lessor timely provides the required information,
115-16 the lessee of the vehicle on the date of the violation is
115-17 considered to be the owner of the vehicle for purposes of this
115-18 section. The lessee is subject to prosecution for failure to pay
115-19 the proper toll if the authority sends a notice of nonpayment to
115-20 the lessee by first-class mail not later than the 30th day after
115-21 the date of the receipt of the information from the lessor.
115-22 Sec. 366.179. USE AND RETURN OF TRANSPONDERS. (a) For
115-23 purposes of this section, a transponder is a device placed on or
115-24 within an automobile that is capable of transmitting or receiving
115-25 information used to assess or collect tolls. A transponder is
115-26 insufficiently funded if there is no money in the account for which
115-27 the transponder was issued.
116-1 (b) Any law enforcement or peace officer of an entity with
116-2 which an authority has contracted under Section 366.182(c) may
116-3 seize a stolen or insufficiently funded transponder and return it
116-4 to the authority that issued the transponder. An insufficiently
116-5 funded transponder may not be seized before the 30th day after the
116-6 date that an authority has sent a notice of delinquency to the
116-7 holder of the account.
116-8 Sec. 366.180. CONTROLLED ACCESS TO TURNPIKE PROJECTS.
116-9 (a) An authority may designate a turnpike project or a portion of
116-10 a project as a controlled-access toll road.
116-11 (b) An authority by order may:
116-12 (1) prohibit the use of or access to or from a
116-13 turnpike project by a motor vehicle, bicycle, other vehicle, or a
116-14 pedestrian;
116-15 (2) deny access to or from:
116-16 (A) its turnpike projects;
116-17 (B) real property adjacent to its turnpike
116-18 projects; or
116-19 (C) a street, road, alley, highway, or other
116-20 public or private way intersecting its turnpike projects;
116-21 (3) designate locations on its turnpike projects at
116-22 which access to or from the toll road is permitted;
116-23 (4) control, restrict, and determine the type and
116-24 extent of access permitted at a designated location of access to
116-25 the turnpike projects; or
116-26 (5) erect appropriate protective devices to preserve
116-27 the utility, integrity, and use of its turnpike projects.
117-1 (c) Denial of access to or from a segment of the state
117-2 highway system is subject to the approval of the commission.
117-3 Sec. 366.181. PROMOTION OF TOLL ROADS. An authority may
117-4 promote the use of its turnpike projects by appropriate means,
117-5 including advertising or marketing as the authority determines
117-6 appropriate.
117-7 Sec. 366.182. OPERATION OF TURNPIKE PROJECT. (a) An
117-8 authority shall operate its turnpike projects through a force of
117-9 toll-takers and other employees of the authority or through
117-10 services contracted under Subsection (b) or (c).
117-11 (b) An authority may enter into an agreement with one or
117-12 more persons to provide, on terms and conditions approved by the
117-13 authority, personnel and services to design, construct, operate,
117-14 maintain, expand, enlarge, or extend the authority's turnpike
117-15 projects.
117-16 (c) An authority may contract with any state or local
117-17 governmental entity for the services of peace officers of that
117-18 agency.
117-19 Sec. 366.183. AUDIT. An authority shall have a certified
117-20 public accountant audit the authority's books and accounts at least
117-21 annually. The cost of the audit may be treated as part of the cost
117-22 of construction or operation of a turnpike project.
117-23 Sec. 366.184. DISADVANTAGED BUSINESSES. (a) Consistent
117-24 with general law, an authority shall:
117-25 (1) set goals for the award of contracts to
117-26 disadvantaged businesses and attempt to meet the goals;
117-27 (2) attempt to identify disadvantaged businesses that
118-1 provide or have the potential to provide supplies, materials,
118-2 equipment, or services to the authority; and
118-3 (3) give disadvantaged businesses full access to the
118-4 authority's contract bidding process, inform the businesses about
118-5 the process, offer the businesses assistance concerning the
118-6 process, and identify barriers to the businesses' participation in
118-7 the process.
118-8 (b) This section does not exempt an authority from
118-9 competitive bidding requirements provided by other law.
118-10 Sec. 366.185. COMPETITIVE BIDDING. (a) A contract made by
118-11 an authority that requires the expenditures of public funds for the
118-12 construction or maintenance of a turnpike project must be let by a
118-13 competitive bidding procedure in which the contract is awarded to
118-14 the lowest responsible bidder that complies with the authority's
118-15 criteria.
118-16 (b) The authority shall adopt rules governing the award of
118-17 contracts through competitive bidding.
118-18 (Sections 366.186-366.250 reserved for expansion
118-19 SUBCHAPTER F. GOVERNANCE
118-20 Sec. 366.251. BOARD OF DIRECTORS. (a) An authority is
118-21 governed by a board of directors.
118-22 (b) The commissioners court of each county of the authority
118-23 shall appoint one director to serve on the board. The governor
118-24 shall appoint three directors to serve on the board.
118-25 (c) Directors shall be divided into two groups. To the
118-26 greatest degree possible, each group shall contain an equal number
118-27 of directors. Directors shall serve terms of two years, except
119-1 that one group of directors of the initial board of an authority
119-2 shall serve for a term of one year.
119-3 (d) Two directors appointed by the governor must have
119-4 resided in a county of the authority for at least one year before
119-5 the person's appointment. One director appointed by the governor
119-6 must have resided in a county adjacent to a county of the authority
119-7 for at least one year before the person's appointment. Each
119-8 director appointed by a commissioners court must have resided in
119-9 that county for at least one year before the person's appointment.
119-10 (e) All appointments to the board shall be made without
119-11 regard to race, color, disability, sex, religion, age, or national
119-12 origin.
119-13 (f) An elected official is not eligible to serve as a
119-14 director.
119-15 (g) A vacancy in a position shall be filled promptly by the
119-16 entity that made the appointment.
119-17 (h) Each director has equal status and may vote.
119-18 (i) The board of an authority shall select one director as
119-19 the presiding officer of the board to serve in that capacity until
119-20 the person's term as a director expires. The board shall elect one
119-21 director as assistant presiding officer. The board shall select a
119-22 secretary and treasurer, neither of whom need be a director.
119-23 (j) The vote of a majority attending a board meeting is
119-24 necessary for any action taken by the board. If a vacancy exists
119-25 on a board, the majority of directors serving on the board is a
119-26 quorum.
119-27 Sec. 366.252. CONFLICT OF INTEREST. (a) A person is not
120-1 eligible to serve on the board of an authority if the person or the
120-2 person's spouse:
120-3 (1) is registered, certified, or licensed by an
120-4 occupational regulatory agency in the field of toll road
120-5 construction, maintenance, or operation;
120-6 (2) is employed by or participates in the management
120-7 of a business entity or other organization regulated by the
120-8 authority or receiving money from the authority;
120-9 (3) owns or controls, directly or indirectly, more
120-10 than a 10 percent interest in a business entity or other
120-11 organization regulated by or receiving money from the authority,
120-12 other than compensation for acquisition of turnpike right-of-way;
120-13 (4) uses or receives a substantial amount of tangible
120-14 goods, services, or money from the authority, other than
120-15 compensation or reimbursement authorized by law for board
120-16 membership, attendance, or expenses, or for compensation for
120-17 acquisition of turnpike right-of-way;
120-18 (5) is an officer, employee, or paid consultant of a
120-19 Texas trade association in the field of road construction,
120-20 maintenance, or operation; or
120-21 (6) is required to register as a lobbyist under
120-22 Chapter 305, Government Code, because of the person's activities
120-23 for compensation on behalf of a profession related to the operation
120-24 of the authority.
120-25 (b) A person may not act as the general counsel to an
120-26 authority if the person is required to register as a lobbyist under
120-27 Chapter 305, Government Code, because of the person's activities
121-1 for compensation on behalf of a profession related to the operation
121-2 of the authority.
121-3 (c) In this section, "Texas trade association" means a
121-4 nonprofit, cooperative, and voluntarily joined association of
121-5 business or professional competitors in this state designed to
121-6 assist its members and its industry or profession in dealing with
121-7 mutual business or professional problems and in promoting their
121-8 common interests.
121-9 Sec. 366.253. SURETY BONDS. (a) Before beginning a term,
121-10 each director shall execute a surety bond in the amount of $25,000,
121-11 and the secretary and treasurer shall execute a surety bond in the
121-12 amount of $50,000.
121-13 (b) Each surety bond must be:
121-14 (1) conditioned on the faithful performance of the
121-15 duties of office;
121-16 (2) executed by a surety company authorized to
121-17 transact business in this state; and
121-18 (3) filed with the secretary of state's office.
121-19 (c) The authority shall pay the expense of the bonds.
121-20 Sec. 366.254. REMOVAL OF DIRECTOR. (a) It is a ground for
121-21 removal of a director from the board if the director:
121-22 (1) did not have at the time of appointment the
121-23 qualifications required by Section 366.251(d);
121-24 (2) whether at the time of appointment or at any time
121-25 during the director's term, is ineligible under Section 366.251(f)
121-26 or 366.252 to serve as a director;
121-27 (3) cannot discharge the director's duties for a
122-1 substantial part of the term for which the director is appointed
122-2 because of illness or disability; or
122-3 (4) is absent from more than half of the regularly
122-4 scheduled board meetings that the director is eligible to attend
122-5 during a calendar year unless the absence is excused by majority
122-6 vote of the board.
122-7 (b) The validity of an action of the board is not affected
122-8 by the fact that it is taken when a ground for removal of a
122-9 director exists.
122-10 (c) If the administrative head of the authority has
122-11 knowledge that a potential ground for removal exists, that person
122-12 shall notify the presiding officer of the board of the ground. The
122-13 presiding officer shall then notify the person that appointed the
122-14 director that a potential ground for removal exists.
122-15 Sec. 366.255. COMPENSATION OF DIRECTOR. Each director is
122-16 entitled to reimbursement for the director's actual expenses
122-17 necessarily incurred in the performance of the director's duties.
122-18 A director is not entitled to any additional compensation for the
122-19 director's services.
122-20 Sec. 366.256. EVIDENCE OF AUTHORITY ACTIONS. Actions of an
122-21 authority are the actions of its board and may be evidenced in any
122-22 legal manner, including a board resolution.
122-23 Sec. 366.257. PUBLIC ACCESS. An authority shall:
122-24 (1) make and implement policies that provide the
122-25 public with a reasonable opportunity to appear before the board to
122-26 speak on any issue under the jurisdiction of the authority; and
122-27 (2) prepare and maintain a written plan that describes
123-1 how an individual who does not speak English or who has a physical,
123-2 mental, or developmental disability may be provided reasonable
123-3 access to the authority's programs.
123-4 Sec. 366.258. INDEMNIFICATION. (a) An authority may
123-5 indemnify one or more of its directors or officers for necessary
123-6 expenses and costs, including attorney's fees, incurred by the
123-7 directors or officers in connection with any claim asserted against
123-8 the directors or officers in their respective capacities as
123-9 directors or officers.
123-10 (b) If an authority does not fully indemnify a director or
123-11 officer as provided by Subsection (a), the court in a proceeding in
123-12 which any claim against the director or officer is asserted or any
123-13 court with jurisdiction of an action instituted by the director or
123-14 officer on a claim for indemnity may assess indemnity against the
123-15 authority, its receiver, or trustee only if the court finds that,
123-16 in connection with the claim, the director or officer is not guilty
123-17 of negligence or misconduct.
123-18 (c) A court may not assess indemnity under Subsection (b)
123-19 for an amount paid by the director or officer to the authority.
123-20 (d) This section applies to a current or former director or
123-21 officer of the authority.
123-22 Sec. 366.259. PURCHASE OF LIABILITY INSURANCE. (a) An
123-23 authority shall insure its officers and employees from liability
123-24 arising from the use, operation, or maintenance of equipment that
123-25 is used or may be used in connection with the laying out,
123-26 construction, or maintenance of the authority's turnpike projects.
123-27 (b) Insurance coverage under this section must be provided
124-1 by the purchase of a policy of liability insurance from a reliable
124-2 insurance company authorized to do business in this state. The
124-3 form of the policy must be approved by the commissioner of
124-4 insurance.
124-5 (c) This section is not a waiver of immunity of the
124-6 authority or the counties in an authority from liability for the
124-7 torts or negligence of an officer or employee of an authority.
124-8 (d) In this section, "equipment" includes an automobile,
124-9 motor truck, trailer, aircraft, motor grader, roller, tractor,
124-10 tractor power mower, and other power equipment.
124-11 Sec. 366.260. CERTAIN CONTRACTS AND SALES PROHIBITED. (a)
124-12 A director, agent, or employee of an authority may not:
124-13 (1) contract with the authority; or
124-14 (2) be directly or indirectly interested in:
124-15 (A) a contract with the authority; or
124-16 (B) the sale of property to the authority.
124-17 (b) A person who violates Subsection (a) is liable for a
124-18 civil penalty to the authority not to exceed $1,000.
124-19 (c) Subsection (a) does not apply to the sale of turnpike
124-20 right-of-way to an authority.
124-21 Sec. 366.261. STRATEGIC PLANS AND ANNUAL REPORTS. (a) An
124-22 authority shall make a strategic plan for its operations. A
124-23 majority of the commissioners courts of the counties composing the
124-24 authority shall by concurrent resolution determine the types of
124-25 information required to be included in the strategic plan. Each
124-26 even-numbered year, an authority shall issue a plan covering the
124-27 next five fiscal years, beginning with the next odd-numbered fiscal
125-1 year.
125-2 (b) Not later than March 31 of each year, an authority shall
125-3 file with the commissioners court of each county of the authority a
125-4 written report on the authority's activities describing all
125-5 turnpike revenue bond issuances anticipated for the coming year,
125-6 the financial condition of the authority, all project schedules,
125-7 and the status of the authority's performance under the most recent
125-8 strategic plan. At the invitation of a commissioners court of a
125-9 county in the authority, representatives of the board and the
125-10 administrative head of an authority shall appear before the
125-11 commissioners court to present the report and receive questions and
125-12 comments.
125-13 (c) The authority shall give notice to the commissioners
125-14 court of each county of the authority not later than the 90th day
125-15 before the date of issuance of revenue bonds.
125-16 Sec. 366.262. MEETINGS BY TELEPHONE CONFERENCE CALL. (a)
125-17 Chapter 551, Government Code, does not prohibit any open or closed
125-18 meeting of the board, a committee of the board, or the staff, or
125-19 any combination of the board or staff, from being held by telephone
125-20 conference call.
125-21 (b) A telephone conference call meeting is subject to the
125-22 notice requirements applicable to other meetings.
125-23 (c) Notice of a telephone conference call meeting that by
125-24 law must be open to the public must specify the location of the
125-25 meeting. The location must be a conference room of the authority
125-26 or other facility in a county of the authority that is accessible
125-27 to the public.
126-1 (d) Each part of the telephone conference call meeting that
126-2 by law must be open to the public shall be audible to the public at
126-3 the location specified in the notice and shall be tape-recorded or
126-4 documented by written minutes. On conclusion of the meeting, the
126-5 tape recording or the written minutes of the meeting shall be made
126-6 available to the public.
126-7 (Sections 366.263-366.300 reserved for expansion
126-8 SUBCHAPTER G. AID FOR REGIONAL TURNPIKE PROJECTS
126-9 Sec. 366.301. DEPARTMENT CONTRIBUTIONS TO TURNPIKE PROJECTS.
126-10 (a) To the extent permitted by the Texas Constitution, the
126-11 department may agree with an authority to provide for or contribute
126-12 to the payment of costs of financial or engineering and traffic
126-13 feasibility studies and the design, financing, acquisition,
126-14 construction, operation, or maintenance of a turnpike project or
126-15 system on terms agreed on by the commission or department, as
126-16 applicable, and the authority. The agreement may not be
126-17 inconsistent with the rights of the bondholders or persons
126-18 operating the turnpike project under a lease or other contract.
126-19 (b) The department may use its engineering and other
126-20 personnel, including consulting engineers and traffic engineers, to
126-21 conduct feasibility studies under Subsection (a).
126-22 (c) An obligation or expense incurred by the commission or
126-23 department under this section is a part of the cost of the turnpike
126-24 project for which the obligation or expense was incurred. Money
126-25 from the state highway fund spent under this section must be repaid
126-26 from tolls or other revenue of the turnpike project or system on
126-27 which the money from the state highway fund was expended.
127-1 (d) The commission or department may use federal money for
127-2 any purpose described by this chapter.
127-3 Sec. 366.302. AGREEMENTS TO CONSTRUCT, MAINTAIN, AND OPERATE
127-4 TURNPIKE PROJECTS. (a) An authority may enter into an agreement
127-5 with a public or private entity, including a toll road corporation,
127-6 the United States, a state of the United States, the United Mexican
127-7 States, a state of the United Mexican States, a local governmental
127-8 entity, or another political subdivision, to permit the entity,
127-9 jointly with the authority, to study the feasibility of a turnpike
127-10 project or system or to acquire, design, finance, construct,
127-11 maintain, repair, operate, extend, or expand a turnpike project or
127-12 system.
127-13 (b) An authority has broad discretion to negotiate
127-14 provisions in a development agreement with a private entity. The
127-15 provisions may include provisions relating to:
127-16 (1) the design, financing, construction, maintenance,
127-17 and operation of a turnpike project or system in accordance with
127-18 standards adopted by the authority; and
127-19 (2) professional and consulting services to be
127-20 rendered under standards adopted by the authority in connection
127-21 with a turnpike project or system.
127-22 (c) An authority may not incur a financial obligation on
127-23 behalf of, or otherwise guarantee the obligations of, a private
127-24 entity that constructs, maintains, or operates a turnpike project
127-25 or system.
127-26 (d) An authority or a county in an authority is not liable
127-27 for any financial or other obligation of a turnpike project solely
128-1 because a private entity constructs, finances, or operates any part
128-2 of a turnpike project or system.
128-3 (e) An authority may authorize the investment of public and
128-4 private money, including debt and equity participation, to finance
128-5 a function described by this section.
128-6 Sec. 366.303. AGREEMENTS BETWEEN AUTHORITY AND LOCAL
128-7 GOVERNMENTAL ENTITIES. (a) A local governmental entity other than
128-8 a nonprofit corporation may, consistent with the Texas
128-9 Constitution, issue bonds or enter into and make payments under
128-10 agreements with an authority to acquire, construct, maintain, or
128-11 operate a turnpike project or system. The entity may levy and
128-12 collect taxes to pay the interest on the bonds and to provide a
128-13 sinking fund for the redemption of the bonds.
128-14 (b) In addition to the powers provided by Subsection (a), a
128-15 local governmental entity may, within any applicable constitutional
128-16 limitations, agree with an authority to issue bonds or enter into
128-17 and make payments under an agreement to acquire, construct,
128-18 maintain, or operate any portion of a turnpike project or system of
128-19 that authority.
128-20 (c) To make payments under an agreement under Subsection
128-21 (b), to pay the interest on bonds issued under Subsection (b), or
128-22 to provide a sinking fund for the bonds or the contract, a local
128-23 governmental entity may:
128-24 (1) pledge revenue from any available source,
128-25 including annual appropriations;
128-26 (2) levy and collect taxes; or
128-27 (3) provide for a combination of Subdivisions (1) and
129-1 (2).
129-2 (d) The term of an agreement under this section may not
129-3 exceed 40 years.
129-4 (e) Any election required to permit action under this
129-5 subchapter must be held in conformity with Chapter 1, Title 22,
129-6 Revised Statutes, or other law applicable to the local governmental
129-7 entity.
129-8 Sec. 366.304. ADDITIONAL AGREEMENTS OF AUTHORITY. An
129-9 authority may enter into any agreement necessary or convenient to
129-10 achieve the purposes of this subchapter.
129-11 SECTION 7.26. Subchapter F, Chapter 411, Government Code, is
129-12 amended by adding Section 411.132 to read as follows:
129-13 Sec. 411.132. ACCESS TO CRIMINAL HISTORY RECORD INFORMATION:
129-14 REGIONAL TOLLWAY AUTHORITIES. (a) A regional tollway authority
129-15 governed by Chapter 366, Transportation Code, is entitled to obtain
129-16 from the department criminal history record information maintained
129-17 by the department that pertains to a person who is:
129-18 (1) employed by the regional tollway authority; or
129-19 (2) an applicant for employment with the regional
129-20 tollway authority.
129-21 (b) Criminal history record information obtained under
129-22 Subsection (a) may not be released or disclosed to any person
129-23 except in a criminal proceeding, in a hearing conducted by the
129-24 regional tollway authority, on court order, or with the consent of
129-25 the person who is the subject of the criminal history record
129-26 information.
129-27 SECTION 7.27. (a) Notwithstanding Section 366.031,
130-1 Transportation Code, as added by this Act, the North Texas Tollway
130-2 Authority is established as a regional tollway authority under
130-3 Chapter 366, Transportation Code, as added by this Act.
130-4 (b) The North Texas Tollway Authority consists of all
130-5 territory in Collin, Dallas, Denton, and Tarrant counties. The
130-6 operations of the authority may extend to other counties as
130-7 permitted under Section 366.161, Transportation Code, as added by
130-8 this Act, and the jurisdiction of the authority may be expanded to
130-9 include other counties under Section 366.031, Transportation Code,
130-10 as added by this Act. As of the effective date of this Act, Cooke,
130-11 Ellis, Fannin, Grayson, Hunt, Johnson, Kaufman, Parker, Rockwall,
130-12 and Wise counties are the only counties that meet the geographical
130-13 qualifications for future inclusion in the North Texas Tollway
130-14 Authority.
130-15 (c) Notwithstanding Section 366.251, Transportation Code, as
130-16 added by this Act, the initial board of directors of the North
130-17 Texas Tollway Authority is composed of nine directors as follows:
130-18 (1) three directors appointed by the governor, two of
130-19 whom must have resided in a county of the authority for at least
130-20 one year before the person's appointment and one of whom must have
130-21 resided in Parker County, Ellis County, or Johnson County for at
130-22 least one year before the person's appointment;
130-23 (2) one director appointed by the commissioners court
130-24 of each county in the authority; and
130-25 (3) the county judges of two of the counties of the
130-26 authority, as agreed by a majority of the county judges of the
130-27 authority.
131-1 (d) The terms of the initial directors of the North Texas
131-2 Tollway Authority begin on September 1, 1997. The county judges
131-3 serving as initial directors shall each serve a one-year term. At
131-4 the expiration of that term, the seats held by the county judges
131-5 are not refilled, and the number of directors composing the board
131-6 is reduced to seven but may be increased if additional counties
131-7 join the authority.
131-8 (e) One of the directors of the North Texas Tollway
131-9 Authority appointed to the initial board by the governor serves a
131-10 one-year term. Each successor to that director shall be appointed
131-11 by the governor for a two-year term.
131-12 (f) The two directors appointed to the initial board of the
131-13 North Texas Tollway Authority by the commissioners courts of the
131-14 counties whose county judges serve as initial directors each serve
131-15 a one-year term. Each successor to those directors shall be
131-16 appointed for a two-year term. The remaining initial directors
131-17 serve two-year terms.
131-18 SECTION 7.28. Sections 361.003, 361.038, 361.039, 361.040,
131-19 361.041, 361.044, 361.045, 361.047, 361.048, 361.139, 361.190, and
131-20 361.284, and Subsection (e), Section 361.331, Transportation Code,
131-21 are repealed.
131-22 ARTICLE 8. TRANSITION, EFFECTIVE DATE, AND EMERGENCY
131-23 SECTION 8.01. (a) The Texas Turnpike Authority is abolished
131-24 and the Texas Turnpike Authority division of the Texas Department
131-25 of Transportation is created on the effective date of this Act.
131-26 Except as provided by Subsections (b) and (c) of this section, all
131-27 assets, rights, and obligations of the Texas Turnpike Authority are
132-1 transferred to the division.
132-2 (b) The North Texas Tollway Authority shall succeed to all
132-3 assets, rights, and other property of the Texas Turnpike Authority
132-4 located in Collin, Dallas, Denton, or Tarrant County, including all
132-5 assets and rights that relate to the Dallas North Tollway, the
132-6 Addison Airport Toll Tunnel, the President George Bush Turnpike,
132-7 the Mountain Creek Lake Bridge, all existing and proposed
132-8 extensions to those projects, the Texas Turnpike Authority
132-9 administration building, and all other facilities, improvements,
132-10 leaseholds, funds, accounts, and investments related to a project
132-11 listed in this subsection.
132-12 (c) The North Texas Tollway Authority shall assume and
132-13 become liable for all duties and obligations of the Texas Turnpike
132-14 Authority related to the assets, rights, and properties transferred
132-15 under Subsection (b) of this section, including contracts and bonds
132-16 secured by the revenues of the assets. The North Texas Tollway
132-17 Authority is obligated to comply with all the assumed obligations
132-18 to the same extent as the Texas Turnpike Authority.
132-19 (d) An employee of the Texas Turnpike Authority may elect to
132-20 become an employee of either the Texas Turnpike Authority division
132-21 of the Texas Department of Transportation or the North Texas
132-22 Tollway Authority on the effective date of this Act, subject to the
132-23 employment openings and requirements of those entities.
132-24 (e) A rule or regulation adopted by the Texas Turnpike
132-25 Authority relating to the operation of a turnpike in Collin,
132-26 Dallas, Denton, or Tarrant County before the effective date of this
132-27 Act that is not inconsistent with this Act remains in effect as a
133-1 rule or regulation of the North Texas Tollway Authority until
133-2 superseded by action of that entity.
133-3 SECTION 8.02. (a) As additional consideration for the
133-4 transfer of the properties described in Subsection (b) of Section
133-5 8.01 of this Act, the North Texas Tollway Authority shall pay to
133-6 the Texas Turnpike Authority division of the Texas Department of
133-7 Transportation $10 million not later than December 31, 1997. In
133-8 making the payment, the authority and the department shall ensure
133-9 that following the payment, the authority is in compliance with all
133-10 bond resolutions, bond indentures, credit agreements, and all other
133-11 agreements assumed by the authority and that reserves held by the
133-12 authority as required under or in connection with the resolutions,
133-13 indentures, credit agreements, and other agreements shall be
133-14 maintained at a level consistent with the Texas Turnpike
133-15 Authority's historical practices.
133-16 (b) The North Texas Tollway Authority shall hire an
133-17 independent auditor to conduct an audit of the records of the
133-18 authority. The audit must identify all funds in the possession of
133-19 the authority that belong to the Texas Turnpike Authority division
133-20 of the Texas Department of Transportation. Except for the transfer
133-21 required by Subsection (a) of this section, the authority must
133-22 transfer to the department all funds identified as belonging to the
133-23 department not later than December 31, 1998.
133-24 SECTION 8.03. The North Texas Tollway Authority is a
133-25 successor agency to the Texas Turnpike Authority for all purposes,
133-26 including for the purpose of Section 52-b, Article III, Texas
133-27 Constitution, concerning all assets, rights, other property,
134-1 duties, and obligations transferred to the authority under
134-2 Subsection (b) of Section 8.01 of this Act. The Texas Department
134-3 of Transportation is a successor to the Texas Turnpike Authority
134-4 for all purposes concerning assets, rights, other property, duties,
134-5 and obligations not transferred to the North Texas Tollway
134-6 Authority under Subsection (b) of Section 8.01 of this Act. Any
134-7 existing agreement by and between the Texas Turnpike Authority and
134-8 the state, the Texas Transportation Commission, the Texas
134-9 Department of Transportation, the Federal Highway Administration,
134-10 the United States Department of Transportation, any other federal
134-11 or state governmental entity, or any local governmental entity that
134-12 pertains to an asset, right, or obligation transferred to the North
134-13 Texas Tollway Authority under this Act is binding on, benefits, and
134-14 is fully enforceable by and against the North Texas Tollway
134-15 Authority as successor to the Texas Turnpike Authority.
134-16 SECTION 8.04. The changes in law made by this Act in the
134-17 qualifications of members of the Texas Transportation Commission or
134-18 the Texas Motor Vehicle Commission do not affect the entitlement of
134-19 a member serving on one of those commissions before September 1,
134-20 1997, to continue to carry out the functions of the commission for
134-21 the remainder of the member's term. The changes in law apply only
134-22 to a member appointed on or after September 1, 1997. This Act does
134-23 not prohibit a person who is a member of the Texas Transportation
134-24 Commission on September 1, 1997, from being reappointed to that
134-25 commission if the person has the qualifications required for a
134-26 member under Chapter 201, Transportation Code, as amended by this
134-27 Act. This Act does not prohibit a person who is a member of the
135-1 Texas Motor Vehicle Commission on September 1, 1997, from being
135-2 reappointed to that commission if the person has the qualifications
135-3 required for a member under the Texas Motor Vehicle Commission Code
135-4 (Article 4413(36), Vernon's Texas Civil Statutes), as amended by
135-5 this Act.
135-6 SECTION 8.05. (a) The governor shall appoint the six
135-7 directors to the board of directors of the Texas Turnpike Authority
135-8 division of the Texas Department of Transportation for initial
135-9 terms as follows: two to serve terms expiring February 15, 1999,
135-10 two to serve terms expiring February 15, 2001, and two to serve
135-11 terms expiring February 15, 2003.
135-12 (b) Until a majority of the board of directors of the Texas
135-13 Turnpike Authority division of the Texas Department of
135-14 Transportation has been appointed and has qualified, the members of
135-15 the board of directors of the Texas Turnpike Authority serving
135-16 immediately before the effective date of this section shall
135-17 exercise the authority granted to the board of directors of the
135-18 Texas Turnpike Authority division of the Texas Department of
135-19 Transportation. When a majority of the members of the board of
135-20 directors of the Texas Turnpike Authority division of the Texas
135-21 Department of Transportation has been appointed and has qualified
135-22 and until all appointees have taken office, a quorum of the board
135-23 is a majority of the number of directors who have qualified.
135-24 SECTION 8.06. This Act takes effect September 1, 1997.
135-25 SECTION 8.07. The importance of this legislation and the
135-26 crowded condition of the calendars in both houses create an
135-27 emergency and an imperative public necessity that the
136-1 constitutional rule requiring bills to be read on three several
136-2 days in each house be suspended, and this rule is hereby suspended.